Document:

Exhibit 10.16 to Electromed, Inc. Form S1

Exhibit 10.16

 

PURCHASE AGREEMENT

 

 

THIS PURCHASE AGREEMENT, dated as of March 2, 2010, is between Robert D. Hansen, whose business address is 500 Sixth Avenue Northwest, New Prague, MN 56071 (“Seller”) and Electromed, Inc. a Minnesota corporation, whose business address is also 500 Sixth Avenue Northwest, New Prague, MN 56071 (“Buyer”).

 

 

RECITALS:

 

A.            The Seller owns a five percent (5%) interest (the “5% Interest”) in Electromed Financial, LLC, a Minnesota limited liability company (the “LLC”).

 

B.            The Buyer owns a ninety-five percent (95%) interest in the LLC and desires to acquire Seller’s 5% Interest thereby making Buyer the 100% owner.

 

C.            As majority owner of the LLC, the Buyer is thoroughly familiar with the financial condition, business and affairs of the LLC.

 

Accordingly, the parties agree as follows:

 

1.             Sale of Interest.  The Seller agrees to sell the 5% Interest to the Buyer, and the Buyer agrees to purchase the 5% Interest from the Seller, as of the date hereof, for the sum of $125,000.00.

 

2.             No Certificate of Ownership.  Buyer and Seller each acknowledge that there are no certificates representing ownership interests of the LLC.  Accordingly, this Agreement alone represents the sale and transfer of the 5% Interest.

 

3.             Closing.  The Buyer and Seller acknowledge that the closing has occurred as of the above date at the above address, and execution of this Agreement by the parties is complete evidence thereof.  

 

4.             Representations and Warranties of the Seller.  The Seller hereby represents and warrants to the Buyer as follows:

 

	
(a)

	
Title to Interest.  The Seller is the beneficial owner of the 5% Interest, free and clear of all liens, encumbrances and claims of every kind, and the delivery of the 5% Interest by the Seller to the Buyer will transfer valid title to the 5% Interest, free and clear of all liens, charges, encumbrances and claims of every kind.

	
 

	
 

	
(b)

	
Authority.  The Seller has the full legal right, power and authority to execute, deliver and perform this Agreement and to consummate the transactions contemplated hereby.

 

 

 

 

 

5.           Representations and Warranties of the Buyer.  The Buyer represents and warrants to the Seller as follows:

 

	
(a)

	
Authority.  The Buyer has the full legal right, power and authority to execute, deliver and perform this Agreement and consummate the transactions contemplated hereby. This Agreement has been duly authorized and validly executed and delivered by, and constitutes the valid and binding agreement of the Buyer, enforceable against the Buyer in accordance with its terms.

	
 

	
 

	
(b)

	
Information.  The Buyer has been the majority owner of the LLC since its inception and is thoroughly familiar with the financial, business and affairs of the LLC.

 

6.           Miscellaneous.

 

	
(a)

	
Governing Law.  This Agreement shall be governed by and construed in accordance with the laws of the State of Minnesota.

	
 

	
 

	
(b)

	
Entire Agreement; Successors and Assignment.  This Agreement sets forth the entire agreement and understanding of the parties in respect of the transactions contemplated hereby.

	
 

	
 

	
(c)

	
Further Assurances.  Each party to this Agreement will execute such further documents or instruments and take such further actions as may reasonably be requested by the other party to this Agreement to effect the purposes of this Agreement.

	
 

	
 

	
(d)

	
Counterparts.  This Agreement may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute one instrument.

	
 

	
 

	
(e)

	
Notice.  Any notice under this Agreement may be delivered at the address first written above for each party.

 

 

 

2

 

 

 

 

IN WITNESS WHEREOF, the parties duly executed this Agreement as of the day and year first written above.

 

	
 

	
 

	
SELLER:

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
/s/ Robert D. Hansen

	
 

	
 

	
Robert D. Hansen

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
BUYER:

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
 

	
/s/ Terry M. Belford

	
 

	
 

	
Electromed, Inc.

	
 

	
 

	
 

	
 

	
 

	
By: 

	
Terry M. Belford

	
 

	
 

	
 

	
 

	
 

	
 

	
Its: 

	
Chief Financial Officer

 

 

 

 

 

 

 

 

 

 

 

 

 

3metalscertofinc.htm - Generated by SEC Publisher for SEC Filing

Exhibit 4.1

AMENDED AND RESTATED

CERTIFICATE OF INCORPORATION

OF

METALS USA HOLDINGS CORP.

Metals USA Holdings Corp., f/k/a Flag Holdings Corporation, a corporation organized and existing under the laws and by virtue of the General Corporation Law of the State of Delaware (the “Corporation”).

DOES HEREBY CERTIFY:

1.         The name of the Corporation is METALS USA HOLDINGS CORP.

2.         The Corporation was originally incorporated under the name Flag Holdings Corporation.  The date of filing of the original Certificate of Incorporation of the Corporation with the Secretary of State of the State of Delaware was May 9, 2005.  The date of the filing of the name change to Metals USA Holdings Corp. was May 1, 2006.

3.         This Amended and Restated Certificate of Incorporation amends the Certificate of Incorporation of the Corporation and has been duly adopted by the Board of Directors of the Corporation (the “Board”) by unanimous written consent in lieu of a meeting in accordance with Sections 141(f), 242, and 245 of the General Corporation Law of the State of Delaware (“DGCL”) and by the stockholders of the Corporation by written consent in lieu of a meeting thereof in accordance with Sections 228, 242 and 245 of the DGCL.

4.         The Certificate of Incorporation of the Corporation, as amended hereby, shall, upon the effectiveness hereof, read in its entirety, as follows:

ARTICLE ONE

The name of the Corporation is:

Metals USA Holdings Corp.

ARTICLE TWO

The address of the Corporation’s registered office in the State of Delaware is 1209 Orange St., Wilmington, County of New Castle, Delaware. The name of its registered agent at such address is The Corporation Trust Company. 

ARTICLE THREE

The purpose of the Corporation is to engage in any or all lawful acts and activities for which corporations may be incorporated under the General Corporation Law of Delaware.

	

                                                                                                                                                                                                                                                                

 

 

ARTICLE FOUR

Section 1.        Authorized Shares.  The total number of shares of all classes of stock which the Corporation shall have authority to issue is 150,000,000 shares, of which 140,000,000 shares shall be common stock, $0.01 par value (“Common Stock”) and 10,000,000 shares shall be preferred stock, $0.01 par value (“Preferred Stock”). 

            Section 2.        Common Stock.

            (a)    Dividends.  Subject to the provisions of applicable law, and the preferences of any outstanding Preferred Stock, the holders of the Common Stock shall be entitled to receive, as and when declared by the Board out of the funds of the Corporation legally available therefor, such dividends (payable in cash, stock or otherwise) as the Board may from time to time determine, payable to stockholders of record on such dates, not exceeding 60 days preceding the dividend payment dates, as shall be fixed for such purpose by the Board in advance of payment of each particular dividend.  

            (b)    Liquidation.  In the event of any liquidation, dissolution or winding up of the Corporation, whether voluntary or involuntary, after the distribution or payment of any liabilities and accrued but unpaid dividends and any liquidation preferences on any outstanding Preferred Stock, the remaining assets of the Corporation available for distribution to stockholders shall be distributed among and paid to the holders of Common Stock ratably in proportion to the number of shares of Common Stock held by them respectively. 

(c)        Voting Rights.  Subject to the provisions of applicable law or of the Bylaws with respect to the closing of the transfer books or the fixing of a record date for the determination of stockholders entitled to vote, and except as otherwise provided by applicable law, the holders of outstanding shares of Common Stock shall exclusively possess the voting power for the election of directors and for all other purposes, with each holder of record of shares of Common Stock being entitled to one vote for each share of Common Stock standing in the name of such holder on the books of the Corporation.

Section 3.        Preferred Stock.  Shares of Preferred Stock may be issued from time to time in one or more series.  The Board is hereby authorized to fix the voting rights, if any, designations, powers, preferences and the relative, participation, optional or other rights, if any, and the qualifications, limitations or restrictions thereof, of any unissued series of Preferred Stock; and to fix the number of shares constituting such series, and to increase or decrease the number of shares of any such series (but not below the number of shares thereof then outstanding).  All shares of any one series of Preferred Stock shall be identical.

Section 4.        Voting.  The stockholders of the Corporation shall not have cumulative voting rights for the election of directors or for any other purpose.

 

                                                                                                                                                           2

 

ARTICLE FIVE

Section 1.        Number of Directors; Initial Directors.  The number of directors that shall constitute the whole Board shall be (a) seven, as of the Effective Time (as defined below) and (b) subject to the Investors Rights Agreement (as defined below), from and after the Effective Time, six or such greater number, not to exceed fifteen, as shall be fixed by the vote of a majority of the Board then in office. 

Section 2.        Classes of Directors; Term of Office.  The Board shall be and is divided into three classes, as nearly equal in number as possible, designated: Class I, Class II and Class III. In case of any increase or decrease, from time to time, in the number of directors, the number of directors in each class shall be apportioned as nearly equal as possible. No decrease in the number of directors shall shorten the term of any incumbent director.

Each director shall serve for a term ending on the date of the third annual meeting following the annual meeting at which such director was elected; provided that each director initially appointed to Class I shall serve for a term expiring at the Corporation’s annual meeting of stockholders held in 2011; each director initially appointed to Class II shall serve for a term expiring at the Corporation’s annual meeting of stockholders held in 2012; and each director initially appointed to Class III shall serve for a term expiring at the Corporation’s annual meeting of stockholders held in 2013; provided, further, that the term of each director shall continue until the election and qualification of his successor and be subject to his earlier death, resignation or removal.

Section 3.        Quorum.  Except as otherwise provided by law, this Amended and Restated Certificate of Incorporation or the Bylaws, a majority of the total number of directors then in office shall constitute a quorum for the transaction of business at any meeting of the Board, but in no event shall less than one-third of the directors constitute a quorum. A majority of the directors present (though less than such quorum) may adjourn the meeting from time to time without further notice.

Section 4.        Vacancies.  Any newly created directorship on the Board that results from an increase in the number of directors and any vacancy occurring in the Board shall be filled only by a majority of the directors then in office, although less than a quorum, or by a sole remaining director, except to the extent otherwise provided by the Amended and Restated Investors Rights Agreement, to be entered into in April 2010, as amended from time to time, by and among the Corporation and the holders that are parties thereto (the “Investors Rights Agreement”).  Subject to the Investors Rights Agreement, the Board shall be authorized to elect a person to fill a newly created directorship created pursuant to clause (ii) of Section 1 of this Article Five, and such person shall hold office for the term applicable to the Class to which such person belongs and until such director’s successor is elected and qualified or until such director’s earlier death, resignation or removal.

If any applicable provision of the DGCL expressly confers power on stockholders to fill such a directorship at a special meeting of stockholders, such a directorship may be filled at such meeting only by the affirmative vote of the holders of a majority of the votes which all the stockholders would be entitled to cast in any annual election of directors or class of directors. 
Any director elected to fill a vacancy not resulting from an increase in the number of directors shall have the same remaining term as that of his or her predecessor.

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Section 5.        Removal and Resignation of Directors.  Except to the extent otherwise provided by the Investors Rights Agreement, Directors may be removed only for cause, and only by the affirmative vote of the holders of a majority of the votes which all the stockholders would be entitled to cast in any annual election of directors or class of directors.  A director may resign at any time by filing his written resignation with the secretary of the Corporation.

Section 6.        Voting Rights of Preferred Stock. Notwithstanding the foregoing, whenever the holders of any one or more series of Preferred Stock issued by the Corporation shall have the right, voting separately as a series or separately as a class with one or more such other series, to elect directors at an annual or special meeting of stockholders, the election, term of office, removal, filling of vacancies and other features of such directorships shall be governed by the terms of this Amended and Restated Certificate of Incorporation (including any certificate of designations relating to any series of Preferred Stock) applicable thereto, and such directors so elected shall not be divided into classes pursuant to this Article unless expressly provided by such terms.

ARTICLE SIX

In furtherance and not in limitation of the powers conferred by statute, the Board is expressly authorized to adopt the original Bylaws of the Corporation, to amend or repeal the Bylaws or to adopt new Bylaws, subject to any limitations that may be contained in such Bylaws, or Article Five hereof, but any Bylaws adopted by the Board may be amended, modified or repealed by the stockholders entitled to vote thereon.

ARTICLE SEVEN

Any action required or permitted to be taken by the holders of the Common Stock of the Corporation may be effected at a duly called annual or special meeting of such holders, or may be taken without a meeting, without prior notice and without a vote, if a consent or consents in writing, setting forth the action so taken, shall be signed by or on behalf of the holders of outstanding stock having not less than the minimum number of votes that would be necessary to authorize or take such action at a meeting at which all shares entitled to vote thereon were present and voted. Except as otherwise required by law and subject to the rights of the holders of any series of Preferred Stock, special meetings of the stockholders of the Corporation may be called only by the Chairman of the Board or a majority of the members of the Board pursuant to a resolution approved by the Board, and special meetings may not be called by any other person or persons. Business transacted at any special meeting of stockholders shall be limited to the purposes stated in the notice.

ARTICLE EIGHT

To the extent permitted by the DGCL, a director of the Corporation will not be liable to the Corporation or its stockholders for monetary damages for breach of fiduciary duty as a director except for liability (a) for any breach of the director’s duty of loyalty to the Corporation or its stockholders, (b) for acts or omissions not in good faith or which involve intentional 
misconduct or a knowing violation of law, (c) under Section 174 of the DGCL (or any successor provision thereto), or (d) for any transaction from which the director derived any improper personal benefit.  Any repeal or amendment or modification of this Article Eight by the stockholders of the Corporation or by changes in applicable law, or the adoption of any provision of this Certificate of Incorporation inconsistent with this Article Eight, will, to the extent permitted by applicable law, be prospective only (except to the extent such amendment or change in applicable law permits the Corporation to provide a broader limitation on a retroactive basis than permitted prior thereto), and will not adversely affect any limitation on the personal liability of any director of the Corporation at the time of such repeal or amendment or modification or adoption of such inconsistent provision.  If any provision of the DGCL is amended to authorize corporate action further eliminating or limiting the personal liability of directors, then the liability of our directors will be eliminated or limited to the fullest extent permitted by the DGCL, as so amended.

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ARTICLE NINE

(a)        Each person who was or is made a party or is threatened to be made a party to or is otherwise involved in any action, suit or proceeding, whether civil, criminal, administrative or investigative (hereinafter a “proceeding”), by reason of the fact that he or she or a person of whom he or she is the legal representative is or was, at any time during which this Amended and Restated Certificate of Incorporation is in effect (whether or not such person continues to serve in such capacity at the time any indemnification or payment of expenses pursuant hereto is sought or at the time any proceeding relating thereto exists or is brought), a director or officer of the Corporation or is or was at any such time serving at the request of the Corporation as a director, officer, trustee, employee or agent of another corporation or of a partnership, joint venture, trust or other enterprise, including service with respect to employee benefit plans maintained or sponsored by the Corporation (hereinafter, an “indemnitee”), whether the basis of such proceeding is alleged action in an official capacity as a director, officer, trustee, employee or agent or in any other capacity while serving as a director, officer, trustee, employee or agent, shall be indemnified and held harmless by the Corporation to the fullest extent authorized by the DGCL as the same exists or may hereafter be amended (but, in the case of any such amendment, only to the extent that such amendment permits the Corporation to provide broader indemnification rights than said law permitted the Corporation to provide prior to such amendment), against all expense, liability and loss (including attorneys’ fees, judgments, fines, ERISA excise taxes or penalties and amounts paid or to be paid in settlement) reasonably incurred or suffered by such person in connection therewith and such indemnification shall continue as to a person who has ceased to be a director, officer, trustee, employee or agent and shall inure to the benefit of his or her heirs, executors and administrators; provided, however, that except as provided in paragraph (c) of this Article Nine, the Corporation shall indemnify any such person seeking indemnification in connection with a proceeding (or part thereof) initiated by such person only if such proceeding (or part thereof) was authorized by the Board.  The right to indemnification conferred in this Article Nine shall include the right to be paid by the Corporation the expenses incurred in defending any such proceeding in advance of its final disposition, such advances to be paid by the Corporation within twenty (20) days after the receipt by the Corporation of a statement or statements from the claimant requesting such advance or advances from time to time; provided, however, that if DGCL requires, the payment of such expenses incurred by a director or officer in his or her capacity as a director or officer (and not in 

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any other capacity in which service was or is rendered by such person while a director or officer, including, without limitation, service to an employee benefit plan) shall be made only upon delivery to the Corporation of an undertaking (hereinafter, the “undertaking”) by or on behalf of such director or officer, to repay all amounts so advanced if it shall ultimately be determined by final judicial decision from which there is no further right of appeal (a “final disposition”) that such director or officer is not entitled to be indemnified for such expenses under this Article Nine or otherwise.  The rights conferred upon indemnitees in this Article Nine shall be contract rights that vest at the time of such person’s service to or at the request of the Corporation and such rights shall continue as to an indemnitee who has ceased to be a director, officer, trustee, employee or agent and shall inure to the benefit of the indemnitee’s heirs, executors and administrators.

 (b)  To obtain indemnification under this Article Nine, a claimant shall submit to the Corporation a written request, including therein or therewith such documentation and information as is reasonably available to the claimant and is reasonably necessary to determine whether and to what extent the claimant is entitled to indemnification.  Upon written request by a claimant for indemnification pursuant to the first sentence of this paragraph (b), a determination, if required by applicable law, with respect to the claimant’s entitlement thereto shall be made as follows:  (i) if requested by the claimant, by Independent Counsel (as hereinafter defined), or (ii) if no request is made by the claimant for a determination by Independent Counsel, (A) by the Board by a majority vote of a quorum consisting of Disinterested Directors (as hereinafter defined), (B) if a quorum of the Board consisting of Disinterested Directors is not obtainable or, even if obtainable, such quorum of Disinterested Directors so directs, by Independent Counsel in a written opinion to the Board, a copy of which shall be delivered to the claimant, or (C) if a quorum of Disinterested Directors so directs, by the stockholders of the Corporation.  In the event the determination of entitlement to indemnification is to be made by Independent Counsel at the request of the claimant, the Independent Counsel shall be selected by the Board unless there shall have occurred within two years prior to the date of the commencement of the action, suit or proceeding for which indemnification is claimed a “Change in Control” as defined in the Metals USA Holdings Company 2010 Long Term Incentive Plan, in which case the Independent Counsel shall be selected by the claimant unless the claimant shall request that such selection be made by the Board.  If it is so determined that the claimant is entitled to indemnification, payment to the claimant shall be made within 10 days after such determination.
             (c)        If a claim under paragraph (a) of this Article Nine is not paid in full by the Corporation within thirty (30) days after a written claim pursuant to paragraph (b) of this Article Nine has been received by the Corporation (except in the case of a claim for advancement of expenses, for which the applicable period is twenty (20) days), the claimant may at any time thereafter bring suit against the Corporation to recover the unpaid amount of the claim and, if successful in whole or in part, the claimant shall be entitled to be paid also the expense of prosecuting such claim.  It shall be a defense to any such action (other than an action brought to enforce a claim for expenses incurred in defending any proceeding in advance of its final disposition where the required undertaking, if any is required, has been tendered to the Corporation) that the claimant has not met the standard of conduct which makes it permissible under the DGCL for the Corporation to indemnify the claimant for the amount claimed, but the burden of proving such defense shall be on the Corporation.  Neither the failure of the Corporation (including its Board, Independent Counsel or stockholders) to have made 

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 a determination prior to the commencement of such action that indemnification of the claimant is proper in the circumstances because he or she has met the applicable standard of conduct set forth in the DGCL, nor an actual determination by the Corporation (including its Board, Independent Counsel or stockholders) that the claimant has not met such applicable standard of conduct, shall be a defense to the action or create a presumption that the claimant has not met the applicable standard of conduct.
             (d)       If a determination shall have been made pursuant to paragraph (b) of Article Nine that the claimant is entitled to indemnification, the Corporation shall be bound by such determination in any judicial proceeding commenced pursuant to paragraph (c) of this Article Nine.
             (e)        The Corporation shall be precluded from asserting in any judicial proceeding commenced pursuant to paragraph (c) of this Article Nine that the procedures and presumptions of this Article Nine are not valid, binding and enforceable and shall stipulate in such proceeding that the Corporation is bound by all the provisions of this Article Nine.
             (f)        The right to indemnification and the payment of expenses incurred in defending a proceeding in advance of its final disposition conferred in this Article Nine (i) shall not be exclusive of any other right which any person may have or hereafter acquire under any statute, provision of the Certificate of Incorporation, Bylaws, agreement, vote of stockholders or Disinterested Directors or otherwise and (ii) cannot be terminated by the Corporation, the Board or the stockholders of the Corporation with respect to a person’s service prior to the date of such termination.  Any amendment, modification, alteration or repeal of this Article Nine that in any way diminishes, limits, restricts, adversely affects or eliminates any right of an indemnitee or his or her successors to indemnification, advancement of expenses or otherwise shall be prospective only and shall not, without the written consent of the indemnitee, in any way diminish, limit, restrict, adversely affect or eliminate any such right with respect to any actual or alleged state of facts, occurrence, action or omission then or previously existing, or any action, suit or proceeding previously or thereafter brought or threatened based in whole or in part upon any such actual or alleged state of facts, occurrence, action or omission.
             (g)        The Corporation may maintain insurance, at its expense, to protect itself and any current or former director, officer, employee or agent of the Corporation or another corporation, partnership, joint venture, trust or other enterprise against any expense, liability or loss, whether or not the Corporation would have the power to indemnify such person against such expense, liability or loss under the DGCL.  To the extent that the Corporation maintains any policy or policies providing such insurance, each such current or former director or officer, and each such agent or employee to which rights to indemnification have been granted as provided in paragraph (h) of this Article Nine, shall be covered by such policy or policies in accordance with its or their terms to the maximum extent of the coverage thereunder for any such current or former director, officer, employee or agent.
             (h)        The Corporation may, to the extent authorized from time to time by the Board or the Chief Executive Officer, grant rights to indemnification, and rights to be paid by the Corporation the expenses incurred in defending any proceeding in advance of its final disposition, to any current or former employee or agent of the Corporation to the fullest extent of 

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 the provisions of this Article Nine with respect to the indemnification and advancement of expenses of current or former directors and officers of the Corporation.
             (i)         If any provision or provisions of this Article Nine shall be held to be invalid, illegal or unenforceable for any reason whatsoever:  (i) the validity, legality and enforceability of the remaining provisions of this Article Nine (including, without limitation, each portion of any paragraph of this Article Nine containing any such provision held to be invalid, illegal or unenforceable, that is not itself held to be invalid, illegal or unenforceable) shall not in any way be affected or impaired thereby; and (ii) to the fullest extent possible, the provisions of this Article Nine (including, without limitation, each such portion of any paragraph of this Article Nine containing any such provision held to be invalid, illegal or unenforceable) shall be construed so as to give effect to the intent manifested by the provision held invalid, illegal or unenforceable.         
             (j)         For purposes of this Article Nine:
 (i)                 “Disinterested Director” means a director of the Corporation who is not and was not a party to the matter in respect of which indemnification is sought by the claimant.
 (ii)           “Independent Counsel” means a law firm, a member of a law firm, or an independent practitioner, that is experienced in matters of corporate law and shall include any person who, under the applicable standards of professional conduct then prevailing, would not have a conflict of interest in representing either the Corporation or the claimant in an action to determine the claimant’s rights under this Article Nine.

Any notice, request or other communication required or permitted to be given to the Corporation under this Article Nine shall be in writing and either delivered in person or sent by telecopy, telex, telegram, overnight mail or courier service, or certified or registered mail, postage prepaid, return receipt requested, to the Secretary of the Corporation and shall be effective only upon receipt by the Secretary.

ARTICLE TEN

Neither any contract or other transaction between the Corporation and any other corporation, partnership, limited liability company, joint venture, firm, association, or other entity (an “Entity”), nor any other acts of the Corporation with relation to any other Entity will, in the absence of fraud, in any way be invalidated or otherwise affected by the fact that any one or more of the directors or officers of the Corporation are pecuniarily or otherwise interested in, or are directors, officers, partners, or members of, such other Entity (such directors, officers, and Entities, each a “Related Person”).  Any Related Person may be a party to, or may be pecuniarily or otherwise interested in, any contract or transaction of the Corporation; provided that the fact that person is a Related Person is disclosed or is known to the Board or a majority of directors present at any meeting of the Board at which action upon any such contract or transaction is taken; and any director of the Corporation who is also a Related Person may be counted in determining the existence of a quorum at any meeting of the Board during which any such contract or transaction is authorized and may vote thereat to authorize any such contract or 
transaction, with like force and effect as if such person were not a Related Person.  Any director of the Corporation may vote upon any contract or any other transaction between the Corporation and any subsidiary or affiliated corporation without regard to the fact that such person is also a director or officer of such subsidiary or affiliated corporation.

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Any contract, transaction or act of the Corporation or of the directors that is ratified at any annual meeting of the stockholders of the Corporation, or at any special meeting of the stockholders of the Corporation called for such purpose, will, insofar as permitted by applicable law, be as valid and as binding as though ratified by every stockholder of the Corporation; provided, however, that any failure of the stockholders to approve or ratify any such contract, transaction or act, when and if submitted, will not be deemed in any way to invalidate the same or deprive the Corporation, its directors, officers or employees, of its or their right to proceed with such contract, transaction or act.

Subject to any express agreement that may from time to time be in effect, (x) any director or officer of the Corporation who is also an officer, director, employee, managing director or other affiliate of Apollo Global Management, LLC (“Apollo”) or its affiliates and (y) Apollo and its affiliates, may, and shall have no duty not to, in each case on behalf of Apollo or its affiliates (the persons and entities in clauses (x) and (y), each a “Covered Apollo Person”), (i) carry on and conduct, whether directly, or as a partner in any partnership, or as a joint venturer in any joint venture, or as an officer, director or stockholder of any corporation, or as a participant in any syndicate, pool, trust or association, any business of any kind, nature or description, whether or not such business is competitive with or in the same or similar lines of business as the Corporation, (ii) do business with any client, customer, vendor or lessor of any of the Corporation or its affiliates, and (iii) make investments in any kind of property in which the Corporation may make investments.  To the fullest extent permitted by Section 122(17) of the DGCL, the Corporation hereby renounces any interest or expectancy of the Corporation to participate in any business of Apollo or its affiliates, and waives any claim against a Covered Apollo Person and shall indemnify a Covered Apollo Person against any claim that such Covered Apollo Person is liable to the Corporation or its stockholders for breach of any fiduciary duty solely by reason of such person’s or entity’s participation in any such business.  The Corporation shall pay in advance any expenses incurred in defense of such claim as provided in Article Nine.  

In the event that a Covered Apollo Person acquires knowledge of a potential transaction or matter which may constitute a corporate opportunity for both (x) the Covered Apollo Person, in his or her Apollo-related capacity, or Apollo or its affiliates and (y) the Corporation, the Covered Apollo Person shall not have any duty to offer or communicate information regarding such corporate opportunity to the Corporation. To the fullest extent permitted by Section 122(17) of the DGCL, the Corporation hereby renounces any interest or expectancy of the Corporation in such corporate opportunity and waives any claim against each Covered Apollo Person and shall indemnify a Covered Apollo Person against any claim, that such Covered Apollo Person is liable to the Corporation or its stockholders for breach of any fiduciary duty solely by reason of the fact that such Covered Apollo Person (i) pursues or acquires any corporate opportunity for its own account or the account of any affiliate, (ii) directs, recommends, sells, assigns, or otherwise transfers such corporate opportunity to another person or (iii) does not communicate information regarding such corporate opportunity to the Corporation; provided, however, in each case, that any corporate opportunity which is expressly offered to a Covered Apollo Person in writing 
solely in his or her capacity as an officer or director of the Corporation shall belong to the Corporation.  The Corporation shall pay in advance any expenses incurred in defense of such claim as provided in Article Nine.

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Any person or entity purchasing or otherwise acquiring any interest in any shares of capital stock of the Corporation shall be deemed to have notice of and to have consented to the provisions of this Article Ten.

ARTICLE ELEVEN

The Corporation elects not to be governed by Section 203 of the DGCL.

ARTICLE TWELVE

Notwithstanding anything to the contrary contained in this Amended and Restated Certificate of Incorporation, the affirmative vote of the holders of at least a majority in voting power of all the shares of the Corporation entitled to vote generally in the election of directors, voting together as a single class, shall be required to modify, amend or repeal, this Amended and Restated Certificate of Incorporation. 

ARTICLE THIRTEEN

If any provision or provisions of this Amended and Restated Certificate of Incorporation shall be held to be invalid, illegal or unenforceable as applied to any circumstance for any reason whatsoever: (a) the validity, legality and enforceability of such provisions in any other circumstance and of the remaining provisions of this Amended and Restated Certificate of Incorporation (including, without limitation, each portion of any paragraph of this Amended and Restated Certificate of Incorporation containing any such provision held to be invalid, illegal or unenforceable that is not itself held to be invalid, illegal or unenforceable) shall not in any way be affected or impaired thereby and (b) to the fullest extent possible, the provisions of this Amended and Restated Certificate of Incorporation (including, without limitation, each such portion of any paragraph of this Amended and Restated Certificate of Incorporation containing any such provision held to be invalid, illegal or unenforceable) shall be construed so as to permit the Corporation to protect its directors, officers, employees and agents from personal liability in respect of their good faith service to or for the benefit of the Corporation to the fullest extent permitted by law.

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IN WITNESS WHEREOF, METALS USA HOLDINGS CORP. has caused this Amended and Restated Certificate of Incorporation to be signed by William A. Smith, II, its Secretary this 5th day of April, 2010.

	
 

	
METALS USA HOLDINGS CORP.

	
 

	
 

	
 

	
 

 

By:      /s/ William A. Smith II                        

Name:  William A. Smith II

Title: Vice President, General Counsel and 

Secretary

 

 

 

[SIGNATURE PAGE TO THE CERTIFICATE OF INCORPORATION]

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