Document:

gnet-ex102_244.htm

 

Exhibit 10.2

Execution Version

SIXTH AMENDMENT TO AMENDED AND RESTATED REVOLVING CREDIT AND SECURITY AGREEMENT

THIS SIXTH AMENDMENT TO AMENDED AND RESTATED REVOLVING CREDIT AND SECURITY AGREEMENT (this “Amendment”) is made and entered into as of August 12, 2015, by and among GOODMAN NETWORKS INCORPORATED, a corporation organized under the laws of the State of Texas (“Borrower”), each of the financial institutions which are now or which hereafter become a party hereto (individually, each a “Lender” and collectively, the “Lenders”) and PNC BANK, NATIONAL ASSOCIATION (“PNC”), as agent for the Lenders (PNC, in such capacity, “Agent”).

RECITALS

A. Borrower, Agent and the Lenders are parties to that certain (i) that certain Amended and Restated Revolving Credit and Security Agreement, dated as of June 23, 2011, by and among Borrower, the Lenders and Agent (as amended, and as the same may be further amended, restated, joined, extended, supplemented or otherwise modified from time to time, the “Credit Agreement”), (ii) that certain Limited Waiver Letter Agreement dated as of May 15, 2012 by and among Borrower and PNC, in its capacity as a Lender and as Agent, (iii) that certain Limited Waiver Letter Agreement dated as of June 15, 2012 by and among Borrower and PNC, in its capacity as a Lender and as Agent, (iv) that certain First Amendment to Credit Agreement dated October 11, 2012 by and among Borrower and PNC, in its capacity as a Lender and as Agent (the “First Amendment”), (v) that certain Second Amendment to Credit Agreement dated November 26 2012, by and among Borrower and PNC, in its capacity as a Lender and as Agent (the “Second Amendment”), (vi) that certain Third Amendment to Credit Agreement dated March 1, 2013 by and among Borrower and PNC, in its capacity as a Lender and as Agent (the “Third Amendment”), (vii) that certain Fourth Amendment to Credit Agreement dated September 6, 2013 by and among Borrower and PNC, in its capacity as a Lender and as Agent (the “Fourth Amendment”), and (viii) that certain Fifth Amendment to Credit Agreement dated May 8, 2014 by and among Borrower and PNC, in its capacity as a Lender and as Agent (the “Fifth Amendment”). Capitalized terms used herein shall, unless otherwise indicated, have the respective meanings set forth in the Credit Agreement.

B. Borrower has requested that Agent and the Lenders amend the Credit Agreement as more particularly set forth herein; and

C. Subject to the terms and conditions set forth herein, Agent and the Lenders are willing to amend the Credit Agreement as provided herein.

NOW THEREFORE, in consideration of the foregoing and the mutual covenants herein contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties, intending to be legally bound agree as follows:

ARTICLE I 

DEFINITIONS

1.01 Capitalized terms used herein and not defined herein shall have the meanings ascribed to them in the Credit Agreement.

ARTICLE II 

AMENDMENTS

2.01 Amendment to Section 1.2 – Amended Definitions. Effective as of the Effective Date (as defined in Section 4.01, below), the following definitions contained in Section 1.2 of the Credit Agreement, are hereby deleted in their entirety and replaced with the following:

“Applicable Margin” shall mean (a) an amount equal to two percent (2.00%) for (i) Revolving Advances consisting of Domestic Rate Loans, and (ii) Swing Loans, and (b) an amount equal to three percent (3.00%) for Revolving Advances consisting of Eurodollar Rate Loans.”

 

 

“Other Documents” shall mean the Sixth Amendment, Fifth Amendment, Fourth Amendment, the Third Amendment, the Second Amendment, the First Amendment, the Agreement (and all amendments and modifications thereto), the Note, the Intercreditor Agreement, the Questionnaire, any Guaranty, any Guarantor Security Agreement, any Lender-Provided Interest Rate Hedge, the Pledge Agreements, and any and all other agreements, instruments and documents, including guaranties, pledges, powers of attorney, consents, interest or currency swap agreements or other similar agreements and all other writings heretofore, now or hereafter executed by Borrower or any Guarantor and/or delivered to Agent or any Lender in respect of the transactions contemplated by this Agreement.

“Triggering Event” shall mean the occurrence of the following:  Borrower’s Undrawn Availability for two consecutive months shall fail to at least equal the lesser of (a) 25% of (x) the amount calculated in Section 2.1(a)(y)(i) with respect to Eligible Receivables (as reported on the most recently delivered Borrowing Base Certificate) plus (y) the amount calculated in Section 2.1(a)(y)(ii) with respect to Eligible Inventory (as reported on the most recently delivered Borrowing Base Certificate) or (b) $10,000,000, measured as of the last day of each such month; provided, however that a Triggering Event shall cease to be continuing when Borrower’s Undrawn Availability for three consecutive months shall be at least equal to the lesser of (a) 50% of (x) the amount calculated in Section 2.1(a)(y)(i) with respect to Eligible Receivables (as reported on the most recently delivered Borrowing Base Certificate) plus (y) the amount calculated in Section 2.1(a)(y)(ii) with respect to Eligible Inventory (as reported on the most recently delivered Borrowing Base Certificate) or (b) $20,000,000, measured as of the last day of each such month.

2.02 Amendment to Section 1.2–New Definitions. Effective as of the Effective Date, the following new definitions are hereby added to Section 1.2 of the Credit Agreement in their proper alphabetical order:

“Sixth Amendment” shall mean that certain Sixth Amendment to Amended and Restated Revolving Credit and Security Agreement among Borrower, Agent and the Lenders, dated as of the Sixth Amendment Closing Date.

“Sixth Amendment Closing Date” shall mean August 12, 2015.

2.03 Amendment to Section 13.1. Section 13.1 of the Credit Agreement is hereby amended by deleting the phrase “June 23, 2016” and replacing it with “June 23, 2017.”

ARTICLE III 

NO WAIVER

3.01 No Waiver. Nothing contained in this Amendment or any other communication prior to the date hereof between Agent, any Lender and Borrower shall be a waiver of any past, present or future violation, Default or Event of Default of Borrower under the Credit Agreement or any Other Document. Nothing in this Amendment shall be construed to be a consent by Agent or any Lender to any prior, existing or future violations of the Credit Agreement or any Other Document.  Nothing contained in this Amendment shall be construed as a waiver by the Agent or any Lender of any covenant or provision of the Credit Agreement, the Other Documents, this Amendment, or of any other contract or instrument between Borrower and the Agent or any Lender, and the failure of the Agent or any Lender at any time or times hereafter to require strict performance by Borrower of any provision thereof shall not waive, affect or diminish any right of the Agent to thereafter demand strict compliance therewith.  The Agent and each Lender hereby reserves all rights granted under the Credit Agreement, the Other Documents, this Amendment and any other contract or instrument between Borrower, Lenders and the Agent.

ARTICLE IV 

CONDITIONS PRECEDENT AND POST-CLOSING COVENANT

4.01 Conditions to Effectiveness. This Amendment shall become effective only upon the satisfaction in full, in a manner satisfactory to the Agent, of the following conditions precedent (the first date upon which all such conditions have been satisfied being herein called the “Effective Date”):

(a) Agent shall have received the following documents or items, each in form and substance satisfactory to Agent and its legal counsel:

(i) this Amendment duly executed by Borrower, Lenders and Agent;

(ii) a certificate certified by an authorized officer of Borrower dated as of the date hereof including (A) all amendments (if any) to its certificate of formation, operating agreement, or other organizational documents entered into since the date of the Credit Agreement, (B) the names of the officers of Borrower authorized to sign this Amendment and the Other Documents to which Borrower is or will be a party to, together with specimen signatures of such officers and (C) evidence that Borrower’s Board of Directors has by unanimous written consent adopted resolutions which authorize the execution, delivery and performance by Borrower of this Amendment;

 

 

(iii) a Consent and Ratification of Guaranty and Other Documents substantially in the form attached hereto as Exhibit A, duly executed by each Guarantor;

(iv) an amendment fee due and payable by Borrower in the amount of $12,500, which fee shall be deemed fully earned and non-refundable upon the execution of this Amendment by Borrower;

(v) evidence that all other fees and expenses due and owing by Borrower to Agent and Lenders shall have been paid in full; and

(vi) all other documents Agent may reasonably request with respect to any matter relevant to this Amendment or the transactions contemplated hereby.

(b) After giving effect to this Amendment, the representations and warranties contained herein and in the Credit Agreement and the Other Documents, shall be true and correct in all material respects as of the date hereof, as if made on the date hereof, except to the extent that such representations and warranties expressly relate solely to an earlier date (in which case such representations and warranties shall have been true and complete on and as of such earlier date);

(c) No Default or Event of Default shall have occurred and be continuing;

(d) Each document (including any Uniform Commercial Code financing statement) required by the Credit Agreement, any related agreement or under law or reasonably requested by the Agent to be filed, registered or recorded in order to create, in favor of Agent, a perfected security interest in or lien upon the Collateral shall have been properly filed, registered or recorded in each jurisdiction in which the filing, registration or recordation thereof is so required or requested, and Agent shall have received an acknowledgment copy, or other evidence satisfactory to it, of each such filing, registration or recordation and satisfactory evidence of the payment of any necessary fee, tax or expense relating thereto; and

(e) All corporate proceedings taken by Borrower in connection with the transactions contemplated by this Amendment and all documents, instruments and other legal matters incident thereto shall be satisfactory to the Agent and its legal counsel.

ARTICLE V

RATIFICATIONS, REPRESENTATIONS AND WARRANTIES

5.01 Ratifications. The terms and provisions set forth in this Amendment shall modify and supersede all inconsistent terms and provisions set forth in the Credit Agreement and the Other Documents, and, except as expressly modified and superseded by this Amendment, the terms and provisions of the Credit Agreement and the Other Documents are ratified and confirmed and shall continue in full force and effect.  Borrower hereby agrees that all liens and security interests securing payment of the Obligations under the Credit Agreement are hereby collectively renewed, ratified and brought forward as security for the payment and performance of the Obligations.  Borrower, the Agent and the Lenders agree that the Credit Agreement and the Other Documents, as amended hereby, shall continue to be legal, valid, binding and enforceable in accordance with their respective terms.

5.02 Representations and Warranties. Borrower hereby represents and warrants to Agent and the Lenders as of the date of this Amendment as follows:  (A) it is duly incorporated or organized, validly existing and in good standing under the laws of its jurisdiction of organization; (B) the execution, delivery and performance by it of this Amendment, the Credit Agreement and all Other Documents executed and/or delivered in connection herewith are within its powers, have been duly authorized, and do not contravene (i) its articles of organization, operating agreement, or other organizational documents or (ii) any applicable law; (C) no consent, license, permit, approval or authorization of, or registration, filing or declaration with any Governmental Body or other Person, is required in connection with the execution, delivery, performance, validity or enforceability of this Amendment, the Credit Agreement or any of the Other Documents executed and/or delivered in connection herewith by or against it, except for those consents, approvals or authorizations which will have been duly obtained, made or compiled prior to the Effective Date and which are in full force and effect; (D) this Amendment, the Credit Agreement and all Other Documents executed and/or delivered in connection herewith have been duly executed and delivered by it; (E) this Amendment, the Credit Agreement and all Other Documents executed and/or delivered in connection herewith constitute its legal, valid and binding obligation enforceable against it in accordance with their terms, except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally or by general principles of equity; (F) no Default or Event of Default exists, has occurred and is continuing or would result by the execution, delivery or performance of this Amendment; (G) Borrower is in compliance with all covenants and agreements contained in the Credit Agreement and the Other Documents, as amended hereby; and (H) the representations and warranties contained in the Credit Agreement and the Other Documents are true and correct in all material respects on and as of the date hereof and on and as of the date of execution hereof as though made on and as of each such date, except to the extent that such representations and warranties expressly relate solely to an earlier date (in which case such representations and warranties shall have been true and complete on and as of such earlier date.

 

 

ARTICLE VI 

MISCELLANEOUS PROVISIONS

6.01 Survival of Representations and Warranties. All representations and warranties made in the Credit Agreement or the Other Documents, including, without limitation, any document furnished in connection with this Amendment, shall survive the execution and delivery of this Amendment and the Other Documents, and no investigation by the Agent or any Lender shall affect the representations and warranties or the right of the Agent and Lenders to rely upon them.

6.02 Reference to Credit Agreement. Each of the Credit Agreement and the Other Documents, and any and all other agreements, documents or instruments now or hereafter executed and delivered pursuant to the terms hereof or pursuant to the terms of the Credit Agreement, as amended hereby, are hereby amended so that any reference in the Credit Agreement and such Other Documents to the Credit Agreement shall mean a reference to the Credit Agreement as amended hereby.

6.03 Expenses of the Agent. Borrower agrees to pay on demand all reasonable costs and expenses incurred by the Agent in connection with any and all amendments, modifications, and supplements to the Other Documents, including, without limitation, the reasonable costs and fees of the Agent’s legal counsel, and all costs and expenses incurred by the Agent in connection with the enforcement or preservation of any rights under the Credit Agreement, as amended hereby, or any Other Documents, including, without, limitation, the costs and fees of the Agent’s legal counsel.

6.04 Severability. Any provision of this Amendment held by a court of competent jurisdiction to be invalid or unenforceable shall not impair or invalidate the remainder of this Amendment and the effect thereof shall be confined to the provision so held to be invalid or unenforceable.

6.05 Successors and Assigns. This Amendment is binding upon and shall inure to the benefit of the Agent, the Lenders and Borrower and their respective successors and assigns, except that Borrower may not assign or transfer any of its respective rights or obligations hereunder without the prior written consent of the Agent.

6.06 Counterparts. This Amendment may be executed in one or more counterparts, each of which when so executed shall be deemed to be an original, but all of which when taken together shall constitute one and the same instrument. Delivery of an executed counterpart of this Amendment by facsimile transmission or other electronic means shall be equally effective as delivery of a manually executed counterpart of this Amendment.

6.07 Effect of Waiver. No consent or waiver, express or implied, by the Agent to or for any breach of or deviation from any covenant or condition by Borrower shall be deemed a consent to or waiver of any other breach of the same or any other covenant, condition or duty.

6.08 Headings. The headings, captions, and arrangements used in this Amendment are for convenience only and shall not affect the interpretation of this Amendment.

6.09 Applicable Law. THIS AMENDMENT AND ALL OTHER AGREEMENTS EXECUTED PURSUANT HERETO SHALL BE DEEMED TO HAVE BEEN MADE AND TO BE PERFORMABLE IN AND SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

6.10 Further Assurances. Borrower shall execute and deliver to the Agent from time to time, upon demand, such supplemental agreements, documents, statements, assignments, transfers, or such other instruments as the Agent may request, in order that the full intent of the Credit Agreement and this Amendment may be carried into effect.

6.11 Final Agreement. THE CREDIT AGREEMENT AND THE OTHER DOCUMENTS, EACH AS AMENDED HEREBY, REPRESENT THE ENTIRE EXPRESSION OF THE PARTIES WITH RESPECT TO THE SUBJECT MATTER HEREOF ON THE DATE THIS AMENDMENT IS EXECUTED.  THE CREDIT AGREEMENT AND THE OTHER DOCUMENTS, AS AMENDED HEREBY, MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES. NO MODIFICATION, RESCISSION, WAIVER, RELEASE OR AMENDMENT OF ANY PROVISION OF THIS AMENDMENT SHALL BE MADE, EXCEPT BY A WRITTEN AGREEMENT SIGNED BY BORROWER AND THE AGENT.

 

 

6.12 Release.  BORROWER HEREBY ACKNOWLEDGES THAT IT HAS NO DEFENSE, COUNTERCLAIM, OFFSET, CROSS-COMPLAINT, CLAIM OR DEMAND OF ANY KIND OR NATURE WHATSOEVER THAT CAN BE ASSERTED TO REDUCE OR ELIMINATE ALL OR ANY PART OF ITS LIABILITY TO REPAY ANY LOANS OR EXTENSIONS OF CREDIT FROM AGENT OR ANY LENDER TO BORROWER UNDER THE CREDIT AGREEMENT OR THE OTHER DOCUMENTS OR TO SEEK AFFIRMATIVE RELIEF OR DAMAGES OF ANY KIND OR NATURE FROM THE AGENT OR ANY LENDER.  BORROWER HEREBY VOLUNTARILY AND KNOWINGLY RELEASES AND FOREVER DISCHARGES THE AGENT OR ANY LENDER, THEIR PREDECESSORS, AGENTS, EMPLOYEES, SUCCESSORS AND ASSIGNS, FROM ALL POSSIBLE CLAIMS, DEMANDS, ACTIONS, CAUSES OF ACTION, DAMAGES, COSTS, EXPENSES, AND LIABILITIES WHATSOEVER, KNOWN OR UNKNOWN, ANTICIPATED OR UNANTICIPATED, SUSPECTED OR UNSUSPECTED, FIXED, CONTINGENT, OR CONDITIONAL, AT LAW OR IN EQUITY, ORIGINATING IN WHOLE OR IN PART ON OR BEFORE THE DATE THIS AMENDMENT IS EXECUTED, WHICH BORROWER MAY NOW OR HEREAFTER HAVE AGAINST AGENT, ITS PREDECESSORS, AGENTS, EMPLOYEES, SUCCESSORS AND ASSIGNS, IF ANY, AND IRRESPECTIVE OF WHETHER ANY SUCH CLAIMS ARISE OUT OF CONTRACT, TORT, VIOLATION OF LAW OR REGULATIONS, OR OTHERWISE, AND ARISING FROM ANY LOANS OR EXTENSIONS OF CREDIT FROM THE LENDERS AND THE AGENT TO BORROWER UNDER THE CREDIT AGREEMENT OR THE OTHER DOCUMENTS, INCLUDING, WITHOUT LIMITATION, ANY CONTRACTING FOR, CHARGING, TAKING, RESERVING, COLLECTING OR RECEIVING INTEREST IN EXCESS OF THE HIGHEST LAWFUL RATE APPLICABLE, THE EXERCISE OF ANY RIGHTS AND REMEDIES UNDER THE CREDIT AGREEMENT OR OTHER DOCUMENTS, AND NEGOTIATION FOR AND EXECUTION OF THIS AMENDMENT.

[Remainder of page intentionally left blank]

 

 

 

 

 

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

 

	
BORROWER:

	
 
	
 

	
GOODMAN NETWORKS INCORPORATED,

	
As Borrower

	
 
	
 

	
By:
	
/s/ Ron Hill

	
Name:
	
Ron Hill

	
Title:
	
President and Chief Executive Officer

 

 

[Signature Page To Sixth Amendment To Amended & Restated Revolving Credit and Security Agreement]

 

 

	
AGENT:

	
 

	
PNC BANK, NATIONAL ASSOCIATION,

	
as Agent and a Lender

	
 
	
 

	
By:
	
/s/ Timothy S. Culver

	
Name:
	
Timothy S. Culver

	
Title:
	
Senior Vice President

 

 

 

[Signature Page To Sixth Amendment To Amended & Restated Revolving Credit and Security Agreement]

 

EXHIBIT A

CONSENT AND RATIFICATION OF GUARANTY AND OTHER DOCUMENTS

Each of the undersigned, Multiband Corporation, a Minnesota corporation (“Multiband”), Multiband Field Services, Incorporated, a Delaware corporation (“MB Field Services”), Goodman Networks Services, LLC, a Delaware limited liability company (“Goodman Services”), and Multiband Special Purpose, LLC, a Minnesota limited liability company (together with Multiband, MB Field Services and Goodman Services, collectively, the “Guarantors” and each, a “Guarantor”), as of August 12, 2015, hereby (a) ratifies and reaffirms all of its obligations under the Guaranty executed by it, dated as of September 30, 2013 in the case of all Guarantors except Goodman Services, and dated as of May 8, 2014 in the case of Goodman Services (the “Guaranty”); (b) ratifies and reaffirms all of its obligations set forth in any of the Other Documents other than the Guaranty, (c) agrees that all liens and security interests granted by it securing payment of the Obligations under the Credit Agreement are hereby collectively renewed, ratified and brought forward as security for the payment and performance of the Obligations (d) agrees that nothing contained in the Sixth Amendment to Amended and Restated Credit and Security Agreement dated as of the date hereof (the “Amendment”) by and among GOODMAN NETWORKS INCORPORATED, a corporation organized under the laws of the State of Texas (“Borrower”), each of the financial institutions who are party thereto (individually, each a “Lender” and collectively, the “Lenders”) and PNC BANK, NATIONAL ASSOCIATION (“PNC”), as agent for the Lenders (PNC, in such capacity, “Agent”), shall adversely affect any right or remedy of the Agent or any Lender under the Guaranty or any Other Document to which it is a party; (e) agrees that the execution and delivery of the Amendment shall in no way change or modify its obligations as a Guarantor under the Guaranty or its obligations under any Other Document other than the Guaranty and shall not constitute a waiver by the Agent or any Lender of any of their rights against Guarantor.  Capitalized terms used herein but not defined shall have the meanings assigned to them in the Credit Agreement (used herein as defined in the Amendment).

Each of the undersigned acknowledges that its Guaranty and each Other Document to which it is a party is in full force and effect and ratifies the same, acknowledges that the undersigned has no defense, counterclaim, set-off or any other claim to diminish the undersigned’s liability under the Guaranty (other than payment in full and performance in full of all the Liabilities (as defined in the Guaranty) after termination of the Credit Agreement in accordance with the terms of the Credit Agreement and the Other Documents, that the undersigned’s consent is not required to the effectiveness of the Credit Agreement or the Amendment and that no consent by it is required for the effectiveness of any future amendment, modification, forbearance or other action with respect to the Collateral, the Advances, the Credit Agreement or any of the Other Documents.

EACH OF THE UNDERSIGNED HEREBY ACKNOWLEDGES THAT IT HAS NO DEFENSE, COUNTERCLAIM, OFFSET, CROSS-COMPLAINT, CLAIM OR DEMAND OF ANY KIND OR NATURE WHATSOEVER THAT CAN BE ASSERTED TO REDUCE OR ELIMINATE ALL OR ANY PART OF ITS LIABILITY TO REPAY ANY OF THE LIABILITIES OR OTHER OBLIGATIONS OF IT UNDER THE GUARANTY OR THE OTHER DOCUMENTS OR TO SEEK AFFIRMATIVE RELIEF OR DAMAGES OF ANY KIND OR NATURE FROM THE AGENT OR ANY LENDER.  EACH OF THE UNDERSIGNED HEREBY VOLUNTARILY AND KNOWINGLY RELEASES AND FOREVER DISCHARGES THE AGENT OR ANY LENDER, THEIR PREDECESSORS, AGENTS, EMPLOYEES, SUCCESSORS AND ASSIGNS, FROM ALL POSSIBLE CLAIMS, DEMANDS, ACTIONS, CAUSES OF ACTION, DAMAGES, COSTS, EXPENSES, AND LIABILITIES WHATSOEVER, KNOWN OR UNKNOWN, ANTICIPATED OR UNANTICIPATED, SUSPECTED OR UNSUSPECTED, FIXED, CONTINGENT, OR CONDITIONAL, AT LAW OR IN EQUITY, ORIGINATING IN WHOLE OR IN PART ON OR BEFORE THE DATE THIS AMENDMENT IS EXECUTED, WHICH THE UNDERSIGNED MAY NOW OR HEREAFTER HAVE AGAINST AGENT, ITS PREDECESSORS, AGENTS, EMPLOYEES, SUCCESSORS AND ASSIGNS, IF ANY, AND IRRESPECTIVE OF WHETHER ANY SUCH CLAIMS ARISE OUT OF CONTRACT, TORT, VIOLATION OF LAW OR REGULATIONS, OR OTHERWISE, AND ARISING FROM ANY LOANS OR EXTENSIONS OF CREDIT FROM THE LENDERS AND THE AGENT TO THE UNDERSIGNED OR ITS AFFILIATES UNDER THE CREDIT AGREEMENT OR THE OTHER DOCUMENTS, INCLUDING, WITHOUT LIMITATION, ANY CONTRACTING FOR, CHARGING, TAKING, RESERVING, COLLECTING OR RECEIVING INTEREST IN EXCESS OF THE HIGHEST LAWFUL RATE APPLICABLE, THE EXERCISE OF ANY RIGHTS AND REMEDIES UNDER THE CREDIT AGREEMENT OR OTHER DOCUMENTS, AND NEGOTIATION FOR AND EXECUTION OF THIS AMENDMENT.

This Consent and Ratification of Guaranty shall inure to the benefit of Agent and Lenders.

[Remainder of page intentionally left blank]

 

 

 

 

 

IN WITNESS WHEREOF, the undersigned has executed this Consent and Ratification of Guaranty and Other Documents as of the date first above written.

 

	
GUARANTORS:

	
 
	
 

	
MULTIBAND CORPORATION

MULTIBAND FIELD SERVICES, 

INCORPORATED 

MULTIBAND SPECIAL PURPOSE, LLC

	
 
	
 

	
By:
	
/s/ Ron Hill

	
Name:
	
Ron Hill

	
Title:
	
President and Chief Executive Officer

 

	
GOODMAN NETWORKS SERVICES,LLC

	
 
	
 

	
By:
	
/s/ Ron Hill

	
Name:
	
Ron Hill

	
Title:
	
President and Chief Executive Officer

 

Goodman – Sixth Amendment To A & R Credit Agreement – Consent and RatificationExhibit 10.1

 

RESTATED
AND AMENDED
EXECUTIVE
EMPLOYMENT
AGREEMENT

 

 

 

This
RESTATED AND AMENDED
EXECUTIVE
EMPLOYMENT
AGREEMENT (the
“Agreement”),
is effective
October
1, 2015,
by and
between
Procyon
Corporation,
a Colorado corporation
("Procyon")
and Regina
W. Anderson
(the "Executive").

WHEREAS,
 Procyon
 has,
 prior 
to  the  date
 of  this
 Agreement,
 employed
 the

 

Executive
as its Chief
Executive
Officer
and Chairman
of the Board
of Directors; and

 

WHEREAS,
Procyon
desires
to continue
to employ
the Executive
on a full-time
basis, and
the Executive
desires
to be so
employed
by Procyon,
pursuant to
the terms
of this Agreement;

NOW,
THEREFORE,
in consideration
of the mutual
covenants
contained
herein,
the

 

parties
agree
as follows:

 

ARTICLE
I 

EMPLOYMENT
DUTIES
AND
BENEFITS

Section
1.1 Employment. Procyon hereby
employs
the Executive
in the
position described
on Schedule
1 hereto
as an
executive
officer of Procyon,
pursuant
to the terms
of this Agreement.
The Executive
accepts
such employment
and agrees
to perform
the duties
and responsibilities
assigned to her pursuant
to this Agreement.

Section
1.2 Duties and
Responsibilities.
The Executive
shall hold the
positions
with Procyon
which
are specified
on Schedule
1, which
is attached
hereto
and incorporated
herein
by reference.
The Executive
is employed
pursuant
to the terms
of this Agreement
and agrees
to devote
full-time
to the business
of Procyon.
The Executive
shall perform
the duties
set forth on Schedule
1 while employed
as an executive
officer,
and such further
duties as
may be determined
and assigned
to her from time-to-time
by the
Board of
Directors
of Procyon.

Section
1.3 Working
Facilities.
The Executive
shall
be furnished
with facilities
and services
suitable
to the position
and adequate
for the performance
of the Executive's
duties
under this
Agreement.
The Executive's
duties
shall be rendered
at Procyon's
offices,
or at such
other place
or places
as the
Executive
may designate
with Procyon's
approval,
which shall not be
unreasonably
withheld.

Section 1.4 Vacations. The
Executive shall be entitled each year to a reasonable
vacation of not less than four weeks in accordance with the established practices of Procyon now
or hereafter
in effect
for executive
personnel,
during which time
the Executive's
compensation
shall be
paid
in full. Should
Procyon
from time-to-time
require
the Executive
to perform job
duties during
vacation
periods, the
Executive
shall be entitled
to compensatory vacation
time at a mutually
agreeable
time.

 

1

 

 

 

    	 

    	 

    

Section
1.5 Expenses. The Executive
is authorized
to incur
reasonable
expenses
for promoting the
domestic and
international
business
of Procyon
in all
respects,
including expenses
for entertainment,
travel
and similar
items.
Procyon
will reimburse
the Executive
for all
such expenses
that
are reasonably
related
to Procyon's
business and
primarily
for Procyon's
benefit,
upon the
presentation by
the Executive,
from time-to-time,
of an
itemized
account of such
expenditures.
Such
expenses
shall be reviewed
and approved
by Procyon's
Chief Financial
Officer.

Section
1.6 Benefit
Plans. From
the effective
date of this
Agreement,
the Executive
shall be entitled
to participate
in all
existing
benefit
plans provided
to Procyon's
executive
employees,
including,
to the extent
now or hereafter
in effect,
medical,
health,
dental,
vision, disability,
life insurance
and death benefit
plans, in accordance
with the terms
of such plans.

 

ARTICLE
II COMPENSATION

 

Section
2.1 Base
Salary.
Procyon
shall pay
to the Executive
a base
salary
of not less than
the amount
specified on
Schedule
1, subject
to annual
review and
raises in such
base salary.
The base salary
may be
changed
by action
of Procyon's
Board of Directors,
and such changes
shall thereafter
be included in the Executive's
base salary
as defined
for purposes of this
Agreement and Procyon's
bonus plan.

Section
2.2 Bonus
and Bonus
Plan Participation.
The Executive
shall
be entitled
to receive
certain
short term
incentive bonuses,
as described,
and pursuant
to the conditions
set forth,
in Schedule
1. The Executive
shall also
be entitled
to receive
bonuses in
accordance
with the provisions
of the Procyon-wide
bonus plan as in effect
from time
to time.

 

 

ARTICLE
III

 

TERM
OF EMPLOYMENT
AND TERMINATION

 

Section
3.1 Term and Nature of Employment. This Agreement
shall
be for
a term
of one
year,
commencing
on its
effective
date,
subject,
however,
to termination
during
such period
as provided
in this
Article
and approval
of the
Board
of Directors
of Procyon
in its annual
meeting.
Nothing
contained
in this
Agreement
shall
be construed
to constitute
a promise
of employment
to the
Executive
for a
fixed term.
Executive's
employment
under
this Agreement
is strictly
"at will,"
and
may be
terminated
by the
Executive
or Procyon,
upon thirty
days
written
notice,
for
any reason
or no
reason,
with or
without
cause.

 

2

 

 

 

    	 

    	 

    

Section
3.2 Renewal of Term. Subject to Procyon’s
Board
of Directors’
approval,
Executive's
employment
shall be extended
for one additional
year
at
the end of each
year
of the term,
or extended
term, of this Agreement
on the same
terms
and
conditions
as contained
in this
Agreement,
unless
either
Procyon or
the Executive
shall, prior
to the
expiration
of the initial
term
or of
any
renewal
term,
give
written
notice
of the
intention
not to
renew
this Agreement.

Section
3.5 Termination. In the
event of
termination
of this
Agreement
by the Executive
or Procyon
for any
reason, including
termination
by death
or disability of
the Executive,
Procyon
shall be obligated
to compensate
the Executive
for any
accrued
vacation
time not
taken and any
earned
but unpaid
base salary
and any
earned
but unpaid bonuses
up to the date
of termination.

Section
3.6 Options. Any
options granted
to the
Executive
to purchase
stock of Procyon
shall become
fully vested
on the
date
of the
involuntary termination
of this Agreement.
This provision
shall serve
as
a contractual
modification
of any
option grants
or agreements
between
the Executive
and Procyon,
whether such
grants
or agreements
shall pre-
date
or postdate
this Agreement,
and
is hereby
incorporated
by
reference
into each
such

option
grant or
agreement.

 

ARTICLE
IV 

GENERAL
MATTERS

Section
4.1 Governing
Law.
This Agreement
shall be governed
by the
laws of
the

 

State
of Florida and
shall be
construed in accordance
therewith.

 

Section
4.2 No Waiver.
No provision
of this
Agreement
may be
waived
except
by an agreement
in writing
signed by
the waiving
party.
A waiver
of any
term or provision
shall not be
construed as
a waiver
of any
other term or
provision.

Section
4.3 Amendment.
This Agreement
may be
amended,
altered
or revoked
at any
time, in
whole or in
part, by
filing with this
Agreement
a written
instrument
setting forth
such changes,
signed
by each
of the parties.

 

3

 

    	 

    	 

    

 

Section
 4.4  Benefit.
 This  Agreement
 shall  be 
binding  upon 
the  Executive
 and

 

Procyon,
and shall
not be assignable
by Procyon
without the
Executive's
written
consent.

 

Section
4.5 Construction. Throughout
this Agreement
the singular shall
include the plural, and the plural
shall include
the singular,
and the masculine
and neuter
shall include
the feminine, wherever
the context
so requires.

Section
4.6 Text
to Control.
The headings
of articles
and sections
are included
solely for convenience
of reference.
If any
conflict
between
any heading
and
the text
of this Agreement
exists,
the text shall control.

Section
4.7 Severability. If any
provision of
this Agreement
is declared
by any
court of competent
jurisdiction
to be invalid
for any
reason, such invalidity
shall
not affect
the remaining provisions. On the contrary,
such remaining provisions
shall be fully severable,
and this Agreement
shall be construed and
enforced
as if such invalid provisions
had not been included
in the Agreement.

Section
4.8 Authority. The officer
executing
this Agreement
on behalf
of Procyon
has been empowered
and directed
to do so by the
Board of
Directors
of Procyon.

Section
4.9 Effective
Date.
The
effective
date
of this
Agreement
shall
be October

1,
2015.

 

 

 

	PROCYON
    CORPORATION	 	EXECUTIVE:

 

	 	 	 
	 By: /s/ James
    B. Anderson	 	/s/ Regina W. Anderson 
	James B. Anderson	 	Regina W. Anderson 
	Chief
    Financial
    Officer	 	Chief
Executive
Officer
and
	 	 	Chairman
    of the
    Board
    of Directors
	 	 	 
	 By: /s/ Fred W.
    Suggs, Jr.	 	 
	Fred
    W. Suggs,
    Jr.	 	 
	Director,
    Member
    of the
    Procyon	 	 
	Corporation
    Compensation
    Committee	 	 
	 	 	 
	 By: /s/ Joseph R. Treshler	 	 
	Joseph
    R. Treshler	 	 
	Director,
    Member
    of the
    Procyon	 	 
	Corporation
    Compensation
    Committee	 	 

 

4

 

 

    	 

    	 

    

FY
2016

PROCYON
CORPORATION

RESTATED
AND AMENDED
EXECUTIVE EMPLOYMENT
AGREEMENT

Schedule
1

Salary
and Benefit
Statement

 

 

	Executive:	Regina
W. Anderson	Date:
October 1, 2015

 

	Position:	Procyon
Corporation:
Chief
Executive
Officer/Chairman
of the
Board
	 	 
	Reporting
to:	Procyon
Board
of Directors
	 	 
	Annual
Base Salary:	$158,000, annually
	 	 
	Benefits:	As outlined
in this
Executive
Employment
Agreement
and the
current

Procyon
Corporation
Employee
Handbook.

	 	 
	Term:	As described
in Section
3.1 of the Executive
Employment Agreement.

The
terms
of the
Short
Term Growth
Incentive
Bonus
described
below
shall
be reviewed
annually,
and
any amendment
thereto
be made
with the mutual
agreement
of the Board
of Directors
and the
Executive.

 

	 	 
	Duties
and Responsibilities:	

Provide oversight of Procyon
operations;
preside
over
Procyon
Board
meetings
 as 
Chairman
 of 
the 
Board;
 provide
 oversight
 of 
Amerx
Health
Care
Corporation
(the
wholly-owned
subsidiary
of Procyon)
executive
officers;
build
company
team and
corporate
culture
through
HR responsibilities;
oversee
corporate
financial
reporting;
maintain
shareholder
communications;
communicate
corporate
news
and events;
direct,
implement
and
manage
compliance
with
SEC
rules
and regulations;
develop
and coordinate
marketing
efforts
for Amerx
Health
Care;
and such
other
matters
as determined
from
time to
time by the Board.

	 	 
	Short Term Profit Incentive Bonus:	Executive
will be entitled
to an
annual
short-term
incentive bonus,
payable
as set
forth below,
based
on accomplishing
the following benchmarks,
which shall
be based
upon Procyon's
net
income before
NOL provided
fiscal 2016 consolidated
company net
sales exceed
$3,000,000.

 

 

5

 

 

    	 

    	 

    

		·	3%  Incentive:
Executive
to be paid 3%
of Procyon's
 net
income before
NOL for
the fiscal
year
provided
net sales
exceed
$3,000,000.
	 	·	The
Short Term
Incentive
Bonus will
be paid
by Procyon
to the Executive
in September
of the applicable
year,
after
the close
of the fiscal
year
end.

 

 

	APPROVED:	 	 
	 	 	 
	PROCYON
    CORPORATION:	 	EXECUTIVE:

 

	 	 	 
	 By: /s/ James B. Anderson	 	 /s/ Regina W. Anderson
	James B. Anderson	 	Regina W. Anderson 
	Chief
    Financial
    Officer	 	
	 	 	
	 	 	 
	 By: /s/ Fred W.
    Suggs, Jr.	 	 
	Fred
    W. Suggs,
    Jr.	 	 
	Director,
    Member
    of the
    Procyon	 	 
	Corporation
    Compensation
    Committee	 	 
	 	 	 
	 By: /s/ Joseph R. Treshler	 	 
	Joseph
    R. Treshler	 	 
	Director,
    Member
    of the
    Procyon	 	 
	Corporation
    Compensation
    Committee	 	 

 

 

 

 

 

Effective
Date: October
1, 2015

 

6

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