Document:

Exhibit

Exhibit 10.12
PEABODY ENERGY CORPORATION
2017 INCENTIVE PLAN
DEFERRED STOCK UNIT AGREEMENT

THIS DEFERRED STOCK UNIT AGREEMENT (this “Agreement”), effective as of __________, 20___, is made by and between PEABODY ENERGY CORPORATION, a Delaware corporation (the “Company”), and the undersigned non-employee director of the Company (the “Grantee”).  The Grant Date for these Deferred Stock Units is __________, 2017 (the “Grant Date”).

WHEREAS, the Company wishes to afford the Grantee the opportunity to own shares of Common Stock;
WHEREAS, the Company wishes to carry out the Plan, the terms of which are hereby incorporated by reference and made a part of this Agreement; and
WHEREAS, the Compensation Committee of the Board of Directors of the Company (the “Committee”), which has been appointed to administer the Plan, has determined that it would be to the advantage and best interest of the Company and its stockholders to grant Deferred Stock Units to the Grantee as an incentive for increased efforts during his or her term with the Company, and has advised the Company thereof and instructed the undersigned officer to enter into this Agreement to evidence this grant of Deferred Stock Units.
NOW, THEREFORE, in consideration of the mutual covenants herein contained and other good and valuable consideration, receipt of which is hereby acknowledged, the parties hereby agree as follows:

ARTICLE 1
DEFINITIONS

Whenever the following terms are used in this Agreement, they shall have the meanings specified below.  Capitalized terms not otherwise defined in this Agreement shall have the meanings specified in the Plan.
Section 1.1 - “Payment Date” shall mean, as used with respect to a Deferred Stock Unit, the earlier to occur of (a) the third anniversary of the Grant Date and (b) the Grantee’s Separation from Service.

Section 1.2 - “Plan” shall mean the Peabody Energy Corporation 2017 Incentive Plan, as amended from time to time.

Section 1.3 - “Section 409A” shall mean Section 409A of the Code and the applicable regulations or other guidance issued thereunder.

Section 1.4 - “Separation from Service” shall mean a termination of the Grantee’s service with the Company or its subsidiary or affiliate (regardless of the reason therefor) that constitutes a “separation from service” as defined in Section 409A or applicable regulations or other guidance in effect thereunder.

 ARTICLE 2
GRANT OF DEFERRED STOCK UNITS

Section 2.1 - Grant of Deferred Stock Units.  For good and valuable consideration, the Company has granted to the Grantee the number of Deferred Stock units (each, a “Deferred Stock Unit”) set forth on the signature page hereof upon the terms and subject to the conditions set forth in this Agreement.  Each Deferred Stock Unit granted hereunder is the equivalent of a hypothetical share of Common Stock of the Company with a value on any given date equal to the Fair Market Value of a share of Common Stock on such date.  Each Deferred Stock Unit granted hereunder represents an unfunded and unsecured promise of the Company to issue, in accordance with Article 4 below, a share of Common Stock for each vested Deferred Stock Unit.

Section 2.2 - No Obligation of Service.  Nothing in this Agreement or in the Plan shall confer upon the Grantee any right to continue in the service of the Company or interfere with or restrict in any way the rights of the Company, which rights are hereby expressly reserved, to terminate the service of the Grantee at any time for any reason whatsoever.

Section 2.3 - Adjustments in Deferred Stock Units.  In the event of the occurrence of one of the corporate transactions or other events listed in Section 4.2 of the Plan, the Committee shall make such substitution or adjustment as provided in Sections 4.2 or 13.2 of the Plan or otherwise in the terms of the Deferred Stock Units in order to equitably reflect such corporate transaction or other event.  Any such adjustment made by the Committee shall be final and binding upon the Grantee, the Company and all other interested persons.

Section 2.4 - Change in Control.  In order to maintain the Grantee’s rights with respect to the grant of Deferred Stock Units evidenced hereby, upon the occurrence of a Change in Control, the Committee may take such actions with respect to the Deferred Stock Units or make such modifications to the Deferred Stock Units as are permitted by the Plan.

ARTICLE 3
VESTING AND FORFEITURE OF DEFERRED STOCK UNITS

Section 3.1 - Deferred Stock Unit Vesting.  Subject to Sections 3.2 and 3.3, the Deferred Stock Units shall become vested ratably, on a monthly basis, over the 12-month period beginning on the Grant Date; provided, that, with respect to the portion of the Deferred Stock Units that are to vest in any given month, such vesting shall only occur to the extent that the Grantee remains in the service of the Company during the entire period commencing on the Grant Date and ending on the date during that month that such Deferred Stock Units are to become vested.  For the purpose of clarity, the vesting of Deferred Stock Units in each month shall occur on the monthly anniversary of the Grant Date.

Section 3.2 - Effect of Separation from Service.  Subject to Section 3.3, no unvested Deferred Stock Unit shall become vested following the Grantee’s Separation from Service, and all unvested Deferred Stock Units shall be immediately and automatically forfeited upon the Grantee’s Separation from Service.

Section 3.3 - Acceleration Events.  Notwithstanding the provisions of Section 3.1 or Section 3.2, the Deferred Stock Units shall become fully vested upon the earliest to occur of: (a) the Grantee’s Separation from Service due to death or Disability; (b) a Change in Control; and (c) the Grantee’s Separation from Service due to the Grantee reaching the end of his or her elected term and either (i) being ineligible to run for an additional term on the Board as a result of reaching age 75 or (ii) having completed at least three (3) years of continuous service as a director.

ARTICLE 4
ISSUANCE OF STOCK

Section 4.1 - Payment Following Vesting of Deferred Stock Units.  Subject to the terms of this Agreement, the Company shall issue to the Grantee (or, in the event of the Grantee’s death, to his or her beneficiary or estate) a number of shares of Common Stock equal to the number of Deferred Stock Units vesting hereunder.  Subject to Section 4.3, such shares of Common Stock shall be issued to the Grantee on the Payment Date.

Section 4.2 - Specified Employee.  If the Payment Date is triggered by a Separation from Service other than due to death and at the time of such Separation from Service the Grantee is a “specified employee” (as such term is defined in Section 409A and using the identification methodology selected by the Company from time to time), the Company shall issue to the Grantee a number of shares of Common Stock equal to the number of vested Deferred Stock Units granted hereunder on the first day of the seventh month after the Payment Date.

Section 4.3 - Conditions to Issuance of Stock Certificates.  Shares of Common Stock that may be issued in accordance with Section 4.1 or 4.2 may be either previously authorized but unissued shares or issued shares that have been reacquired by the Company.  If the Committee reasonably anticipates, in accordance with Treasury Regulation Section 1.409A-2(b)(7)(ii), that issuing Common Stock on the Payment Date will violate federal securities laws or other applicable laws, the Company may delay issuing such Common Stock, provided that the Company issues such Common Stock on the earliest date on which the Committee reasonably anticipates that such issuance will not violate federal securities laws or other applicable laws.

Section 4.4 - Stockholder Rights.  The Grantee shall not be, nor have any of the rights or privileges of, a stockholder of the Company in respect of any shares of Common Stock corresponding to Deferred Stock Units granted hereunder unless and until certificates representing such shares shall have been issued by the Company to the Grantee or such ownership has otherwise been indicated and documented by the Company.  The Grantee shall not be entitled to dividend equivalents with respect to the Deferred Stock Units.

ARTICLE 5
MISCELLANEOUS

Section 5.1 - Tax Consequences.  Unless otherwise specifically provided in another agreement between the Company and the Grantee, the Company shall not be liable or responsible for any tax of the Grantee relating to the Deferred Stock Units, and the Grantee agrees to be responsible for, any and all such taxes with respect to the Deferred Stock Units.

Section 5.2 - Administration.  The Committee has the power to interpret the Plan and this Agreement and to adopt such rules for the administration, interpretation and application of the Plan as are consistent therewith and to interpret or revoke any such rules.  All actions taken and all interpretations and determinations made by the Committee shall be final and binding upon the Grantee, the Company and all other interested persons.  No member of the Committee shall be personally liable for any action, determination or interpretation made in good faith with respect to the Plan or the Deferred Stock Units.  In its absolute discretion, the Board may at any time and from time to time exercise any and all rights and duties of the Committee under the Plan and this Agreement.

Section 5.3 - Deferred Stock Units Not Transferable.  Neither the Deferred Stock Units nor any interest or right therein or part thereof shall be liable for the debts, contracts or engagements of the Grantee or his or her successors in interest or shall be subject to disposition by transfer, alienation, anticipation, pledge, encumbrance, assignment or any other means whether such disposition is voluntary or involuntary or by operation of law by judgment, levy, attachment, garnishment or any other legal or equitable proceedings (including bankruptcy), and any attempted disposition thereof shall be null and void and of no effect; provided, however, that this Section 5.3 shall not prevent transfers by will or by the applicable laws of descent and distribution.

Section 5.4 - Notices.  Any notice to be given under the terms of this Agreement to the Company shall be addressed to the Company in care of its Secretary, and any notice to be given to the Grantee shall be addressed to him or her at the address set forth in the records of the Company.  By a notice given pursuant to this Section 5.4, either party may hereafter designate a different address for notices to be given to him, her or it.  Any notice which is required to be given to the Grantee shall, if the Grantee is then deceased, be given to the Grantee’s personal representative if such representative has previously informed the Company of his, her or its status and address by written notice under this Section 5.4.  Any notice shall be deemed duly given when enclosed in a properly sealed envelope or wrapper addressed as aforesaid, deposited (with postage prepaid) in a post office or branch post office regularly maintained by the United States Postal Service.  Notwithstanding the foregoing, any notice required or permitted hereunder from the Company to the Grantee may be made by electronic means, including by electronic mail to the Company-maintained electronic mailbox of the Grantee, and the Grantee hereby consents to receive such notice by electronic delivery.  To the extent permitted in an electronically delivered notice described in the previous sentence, the Grantee shall be permitted to respond to such notice or communication by way of a responsive electronic communication, including by electronic mail.

Section 5.5 - Titles.  Titles are provided herein for convenience only and are not to serve as a basis for interpretation or construction of this Agreement.

Section 5.6 - Pronouns.  The masculine pronoun shall include the feminine and neuter, and the singular the plural, where the context so indicates.

Section 5.7 - Applicability of Plan.  The Deferred Stock Units and the shares of Common Stock issued to the Grantee hereunder, if any, shall be subject to all of the terms and provisions of the Plan, to the extent applicable to the Deferred Stock Units and such shares.  In the event of any conflict between this Agreement and the Plan, the terms of the Plan shall control.

Section 5.8 - Amendment.

(a)    Except as permitted by the Plan, this Agreement may be amended only by a writing executed by the parties hereto that specifically states that it is amending this Agreement.

(b)    If either party to this Agreement reasonably determines that any amount payable pursuant to this Agreement would result in adverse tax consequences under Section 409A, then such party shall deliver written notice of such determination to the other party, and the parties hereby agree to work in good faith to amend this Agreement so it complies with the requirements of Section 409A and preserves as nearly as possible the original intent and economic effect of the affected provisions.

(c)    To the extent applicable, this Agreement is intended to comply with Section 409A so that the income inclusion provisions of Section 409A(a)(1) of the Code do not apply to Grantee, and this Agreement shall be construed, interpreted and administered in a manner that is consistent with this intent and the requirements for avoiding additional taxes or penalties under Section 409A. Notwithstanding the foregoing, in no event shall the Company be liable for all or any portion of any taxes, penalties, interest or other expenses that may be incurred by the Grantee on account of Section 409A.

(d)    Except as permitted under Section 409A of the Code, any deferred compensation (within the meaning of Section 409A of the Code) payable to a Grantee or for the Grantee’s benefit under this Agreement and grants hereunder may not be reduced by, or offset against, any amount owing by the Grantee to the Company or any of its Subsidiaries.

(e)    Notwithstanding any provision of this Agreement to the contrary, in light of the uncertainty with respect to the proper application of Section 409A of the Code, the Company reserves the right to make amendments to this Agreement and the terms of the Deferred Stock Units as the Company deems necessary or desirable to avoid the imposition of taxes or penalties under Section 409A of the Code.  In any case, neither the Company nor any of its affiliates will have any obligation to indemnify or otherwise hold the Grantee harmless from any or all of such taxes or penalties.

Section 5.9 - Dispute Resolution.  Any dispute or controversy arising under or in connection with this Agreement shall be resolved by arbitration in St. Louis, Missouri.  Arbitrators shall be selected, and arbitration shall be conducted, in accordance with the rules of the American Arbitration Association.  The Company shall pay or reimburse any legal fees in connection with such arbitration in the event that the Grantee prevails on a material element of his or her claim or defense. Payments or reimbursements of legal fees made under this Section 5.9 that are provided during one calendar year shall not affect the amount of such payments or reimbursements provided during a subsequent calendar year, payments or reimbursements under this Section 5.9 may not be exchanged or substituted for another form of compensation to the Grantee, and any such reimbursement or payment will be paid within 60 days after the Grantee prevails, but in no event later than the last day of the Grantee’s taxable year following the taxable year in which he incurred the expense giving rise to such reimbursement or payment. This Section 5.9 shall remain in effect throughout the period in which Grantee provide services to the Company and for a period of five years following the Grantee’s Separation from Service.

Section 5.10 - Governing Law.  The laws of the State of Delaware shall govern the interpretation, validity and performance of the terms of this Agreement regardless of the law that might be applied under principles of conflicts of laws.

[SIGNATURE PAGE FOLLOWS]

IN WITNESS WHEREOF, this Agreement has been executed and delivered by the parties hereto, effective as of the Grant Date.
	
			
	GRANTEE
	 
	PEABODY ENERGY CORPORATION

	 
	 
	 

	 
	 
	 

	[         ]
	 
	By:

	 
	 
	 

	 
	 
	Its:

	 
	 
	 

	 
	 
	 

	Address
	 
	 

	 
	 
	 

	 
	 
	 

	 
	 
	 

	Grantee's Taxpayer Identification
	 
	Aggregate number of Deferred Stock Units

	Number:
	 
	granted:                          

	 
	 
	 

	                -           -snak_Ex10_1

		

			EXECUTION VERSION

		

		
			LIMITED WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT
		

		
			 
		

		
			 
		

		
			THIS LIMITED WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT (this “Amendment”), dated as of May 10, 2017, is by and among Inventure Foods, Inc., a Delaware corporation (the “Parent Borrower”), the Subsidiaries of the Parent Borrower identified on the signature pages hereof (such Subsidiaries, together with the Parent Borrower, are referred to herein each individually as a “Borrower” and individually and collectively, jointly and severally, as “Borrowers”), the lenders from time to time party to the Credit Agreement defined below (the “Lenders”) and BSP AGENCY, LLC, a Delaware limited liability company, in its capacity as agent for each member of the Lender Group (in such capacity, together with its successors and assigns in such capacity, the “Agent”).  Capitalized terms used herein and not otherwise defined herein shall have the meanings ascribed thereto in the Credit Agreement.
		

		
			 
		

		
			 
		

		
			W I T N E S S E T H
		

		
			 
		

		
			WHEREAS, the Borrowers, the Lenders and the Agent are parties to that certain Credit Agreement dated as of November 18, 2015 (as amended by that certain First Amendment to Credit Agreement dated as of March 9, 2016, as amended by that certain Second Amendment to Credit Agreement dated as of September 27, 2016 and as may be further amended, modified, extended, restated, replaced, or supplemented from time to time, the “Credit Agreement”); 
		

		
			 
		

		
			WHEREAS, certain Events of Default have occurred, are continuing or will result under the Credit Agreement as a result of: (i) the Parent Borrower’s and the other Loan Parties’ failure to comply with the financial statement covenant contained in Section 5.1 of the Credit Agreement because of a “going concern” qualification to the certification by the Parent Borrower’s auditor of the audited financial statements of the Parent Borrower and its Subsidiaries for the fiscal year ended December 31, 2016, which constitutes an Event of Default under Section 8.2(a) of the Credit Agreement (the “2016 Audit Covenant Event of Default”) and (ii) the Parent Borrower’s and the other Loan Parties’ failure to comply with the financial covenant contained in Section 7.3 of the Credit Agreement for the fiscal month ended April 30, 2017, which constitutes an Event of Default under Section 8.2(a) of the Credit Agreement (the “EBITDA Event of Default” and collectively with the 2016 Audit Covenant Event of Default, the “Specified Events of Default”);
		

		
			 
		

		
			WHEREAS, the Borrowers, the Lenders and the Agent are parties to that certain Limited Waiver dated as of March 29, 2017 (as amended, modified, extended, restated, replaced, or supplemented from time to time, the “Limited Waiver”) whereby the Agent and the Lenders agreed to waive the 2016 Audit Covenant Event of Default until May 15, 2017 (the “2016 Audit Covenant Waiver Deadline”); 
		

		
			 
		

		
			WHEREAS, the Borrowers have requested that the Agent and the Lenders (a) extend the 2016 Audit Covenant Waiver Deadline until July 17, 2017, (b) waive the EBITDA Event of Default until July 17, 2017 and (c) amend certain provisions of the Credit Agreement; and
		

		
			 
		

		
			WHEREAS, the Agent and the Lenders are willing to (a) provide the extension of the 2016 Audit Covenant Waiver Deadline, (b) provide the waiver of the EBITDA Event of Default and (c) make such amendments to the Credit Agreement in accordance with and subject to the terms and conditions set forth herein and in accordance with the applicable provisions of the Intercreditor Agreement.
		

		
			 
		

		
			NOW, THEREFORE, in consideration of the agreements hereinafter set forth, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows:
		

		
			

		 

 

		

		
			 
		

		
			ARTICLE I

		

		
			AMENDMENTS TO CREDIT AGREEMENT
		

		
			LIMITED WAIVER
		

		
			 
		

		
			1.1Waiver of Specified Events of Default.  Notwithstanding the provisions of the Credit Agreement to the contrary, the Agent and the Lenders hereby agree to extend the 2016 Audit Covenant Waiver Deadline and waive the EBITDA Event of Default until the date (the “Waiver Deadline”) that is the earlier of (a) the occurrence and continuation of a Default or Event of Default other than any Specified Event of Default and (b) July 17, 2017.  On the date constituting the Waiver Deadline, the Specified Events of Default will be reinstated as if the waiver set forth above had never been provided and failure of the Parent Borrower to be in compliance therewith shall constitute an immediate Event of Default. 
		

		
			 
		

		
			1.1Effectiveness of Limited Waiver.  This Limited Waiver shall be effective only to the extent specifically set forth herein and shall not (a) be construed as a waiver of any breach, Default or Event of Default other than as specifically waived herein nor as a waiver of any breach, Default or Event of Default of which the Lenders have not been informed by the Borrowers, (b) affect the right of the Lenders to demand compliance by the Borrowers with all terms and conditions of the Loan Documents, except as specifically modified or waived by this Limited Waiver, (c) be deemed a waiver of any transaction or future action on the part of the Borrowers requiring the Lenders’ consent or approval under the Loan Documents, or (d) except as waived hereby, be deemed or construed to be a waiver or release of, or a limitation upon, the Lenders’ exercise of any rights or remedies under the Credit Agreement or any other Loan Document, whether arising as a consequence of any Default or Event of Default (other than a Specified Event of Default) which may now exist or otherwise, all such rights and remedies hereby being expressly reserved.
		

		
			 
		

		
			ARTICLE II

		

		
			AMENDMENTS TO CREDIT AGREEMENT
		

		
			 
		

		
			2.1Amendment to Section 2.4(g).  Section 2.4(g) of the Credit Agreement is hereby amended by deleting the existing Section 2.4(g) in its entirety, and in lieu thereof substituting the following:
		

		
			 
		

		
			(g)[Reserved].
		

		
			 
		

		
			From and after the date hereof, each reference to Section 2.4(g) in the Credit Agreement and the other Loan Documents shall be deemed to be deleted and hereafter shall be disregarded.
		

		
			 
		

		
			2.2Amendment to Section 2.10(b).  Section 2.10(b) of the Credit Agreement is hereby amended and restated in its entirety to read as follows:
		

		
			 
		

		
			(b)(i) To the extent the Borrowers make any payment or prepayment of principal with respect to the Loans after the Third Amendment Effective Date and prior to June 30, 2017 (including any prepayment pursuant to Section 2.4(d) or (e)), other than regularly scheduled principal payments pursuant to Section 2.1(a) (excluding any such principal payment on the Maturity Date), the Borrowers shall pay to the Agent for the ratable account of each of the Lenders, a non-refundable fee in the amount of 6.00% of the aggregate principal amount of all such Loans paid or prepaid and (ii) to the extent the Borrowers make any payment or prepayment of principal with respect to the Loans on or after June 30, 2017 (including any prepayment pursuant to Section 2.4(d) or (e)),  other than regularly scheduled principal payments pursuant to Section 2.1(a) (excluding any such principal payment on the Maturity Date), the Borrowers shall pay to the Agent 

		 

		

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for the ratable account of each of the Lenders, a non-refundable fee in the amount of 7.00% of the aggregate principal amount of all such Loans paid or prepaid (any fee paid pursuant to clause (i) or (ii) above, the “Third Amendment Fee”).  Such Third Amendment Fee shall be due and payable on the date of payment or prepayment (whether or not an Event of Default is occurring and prior to and after acceleration of the Loans). 
		

		
			 
		

		
			2.3Amendment to Section 7.3.  Section 7.3 is hereby amended and restated in its entirety to read as follows:
		

		
			 
		

		
			7.3 Consolidated EBITDA.  Commencing with the fiscal month ending June 30, 2017, Borrowers will have EBITDA, measured at the end of each fiscal month for the twelve (12) months then ended, of at least $18,000,000.  
		

		
			 
		

		
			2.4Amendment to Section 9.1.  The final paragraph of Section 9.1 of the Credit Agreement is hereby amended and restated in its entirety to read as follows:
		

		
			 
		

		
			Without limiting the generality of Section 2.10(b), and notwithstanding anything to the contrary in this Agreement or any Loan Document, it is understood and agreed that if the Obligations are accelerated hereunder pursuant to this Section 9.1, the Third Amendment Fee determined as of the date of acceleration, will also be due and payable and will be treated and deemed as though the applicable Loans were prepaid and the applicable Commitments were terminated as of such date and shall constitute part of the Obligations for all purposes herein.  The Third Amendment Fee shall also be payable in the event the Obligations (and/or this Agreement) are satisfied or released by foreclosure (whether by power of judicial proceeding), deed in lieu of foreclosure or by any other means.  THE LOAN PARTIES EXPRESSLY WAIVE THE PROVISIONS OF ANY PRESENT OR FUTURE STATUTE OR LAW THAT PROHIBITS OR MAY PROHIBIT THE COLLECTION OF THE FOREGOING THIRD AMENDMENT FEE IN CONNECTION WITH ANY SUCH ACCELERATION.  The Loan Parties expressly agree that (i) the Third Amendment Fee is reasonable and is the product of an arm’s length transaction between sophisticated business people, ably represented by counsel, (ii) the Third Amendment Fee shall be payable notwithstanding the then prevailing market rates at the time payment is made, (iii) there has been a course of conduct between Lenders and the Loan Parties giving specific consideration in this transaction for such agreement to pay the Third Amendment Fee, (iv) the Loan Parties shall be estopped hereafter from claiming differently than as agreed to in this Section 9.1, (v) their agreement to pay the Third Amendment Fee is a material inducement to the Lenders to make the Loans, and (vi) (A) the Third Amendment Fee represents a good faith, reasonable estimate and calculation of the lost profits or damages of the Lenders, (B) it would be impractical and extremely difficult to ascertain the actual amount of damages to the Lenders or profits lost by the Lenders as a result of such payment or prepayment and (C) the Third Amendment Fee represents liquidated damages and compensation for the costs of making funds available hereunder.
		

		
			 
		

		
			2.5Amendment to Section 14.1(a)(iii).  Section 14.1(a)(iii) of the Credit Agreement is hereby amended and restated in its entirety to read as follows:
		

		
			 
		

		
			reduce the principal of, or the rate of interest on, any Loan or other extension of credit hereunder, or reduce any fees or other amounts payable hereunder or under any other Loan Document (except in connection with the waiver of applicability of Section 2.6(c) (which waiver shall be effective with the written consent of the Required Lenders) but including the Third Amendment Fee)),
		

		
			2.6New Definitions.  The following definitions are hereby added to Schedule 1.1 to the Credit Agreement in the appropriate alphabetical order:
		

		
			 
		

		
			“Third Amendment Effective Date” shall mean May 10, 2017.
		

		
			

		 

		

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			“Third Amendment Fee” has the meaning specified therefore in Section 2.10(b).
		

		
			 
		

		
			2.7Deleted Definitions.  Schedule 1.1 to the Credit Agreement is hereby amended by deleting the existing definitions of “Call Premium”, “Make-Whole Premium” and “Treasury Rate” in their entirety.  From and after the date hereof, each reference to any of such terms in the Credit Agreement and the other Loan Documents shall be deemed to be deleted and hereafter shall be disregarded.
		

		
			 
		

		
			2.8Amendment to Schedule 5.1.  Schedule 5.1 to the Credit Agreement is hereby amended and restated in its entirety as set forth on Schedule 5.1 hereto.
		

		
			 
		

		
			ARTICLE III
CONDITIONS TO EFFECTIVENESS
		

		
			 
		

		
			3.1Closing Conditions.  This Amendment shall become effective as of the day and year set forth above (the “Amendment Effective Date”) upon satisfaction of the following conditions (in each case, in form and substance reasonably acceptable to the Agent):
		

		
			 
		

		
			(a)Executed Amendment.  The Agent shall have received a copy of this Amendment duly executed by each of the Loan Parties, the Required Lenders and the Agent.
		

		
			 
		

		
			(b)Default.  After giving effect to this Amendment, no Default or Event of Default shall exist.
		

		
			 
		

		
			(c)Fees and Expenses.  The Agent shall have received from the Parent Borrower such other fees and expenses that are payable in connection with the consummation of the transactions contemplated hereby and King & Spalding LLP shall have received from the Parent Borrower payment of all outstanding fees and expenses previously incurred and all fees and expenses incurred in connection with this Amendment.
		

		
			 
		

		
			(d)Miscellaneous.  All other documents and legal matters in connection with the transactions contemplated by this Amendment shall be reasonably satisfactory in form and substance to the Agent and its counsel.
		

		
			 
		

		
			ARTICLE IV
MISCELLANEOUS
		

		
			 
		

		
			4.1Amended Terms.  On and after the Amendment Effective Date, all references to the Credit Agreement in each of the Loan Documents shall hereafter mean the Credit Agreement as amended by this Amendment.  Except as specifically amended hereby or otherwise agreed, the Credit Agreement is hereby ratified and confirmed and shall remain in full force and effect according to its terms.
		

		
			 
		

		
			4.2Representations and Warranties of the Loan Parties.  Each of the Loan Parties represents and warrants as follows:
		

		
			 
		

		
			(a)It has taken all necessary action to authorize the execution, delivery and performance of this Amendment.
		

		
			 
		

		
			(b)This Amendment has been duly executed and delivered by such Person and constitutes such Person’s legal, valid and binding obligation, enforceable in accordance with its terms, except as such enforceability may be subject to (i) bankruptcy, insolvency, reorganization, 

		 

		

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fraudulent conveyance or transfer, moratorium or similar laws affecting creditors’ rights generally and (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding at law or in equity).
		

		
			 
		

		
			(c)No consent, approval, authorization or order of, or filing, registration or qualification with, any court or governmental authority or third party is required in connection with the execution, delivery or performance by such Person of this Amendment.
		

		
			 
		

		
			(d)After giving effect to this Amendment, the representations and warranties set forth in Article 4 of the Credit Agreement are true and correct as of the date hereof (except for those which expressly relate to an earlier date).
		

		
			 
		

		
			(e)After giving effect to this Amendment, no event has occurred and is continuing which constitutes a Default or an Event of Default.
		

		
			 
		

		
			(f)The Loan Documents continue to create a valid security interest in, and Lien upon, the Collateral, in favor of the Agent, for the benefit of the Lenders, which security interests and Liens are perfected in accordance with the terms of the Loan Documents and prior to all Liens other than Permitted Liens.
		

		
			 
		

		
			(g)The Obligations are not reduced or modified by this Amendment and are not subject to any offsets, defenses or counterclaims.
		

		
			 
		

		
			4.3Reaffirmation of Obligations.  Each Loan Party hereby ratifies the Credit Agreement and acknowledges and reaffirms (a) that it is bound by all terms of the Credit Agreement applicable to it and (b) that it is responsible for the observance and full performance of its respective Obligations.
		

		
			 
		

		
			4.4Loan Document.  This Amendment shall constitute a Loan Document under the terms of the Credit Agreement.
		

		
			 
		

		
			4.5Expenses.  Each Borrower agrees to pay all reasonable costs and expenses of the Agent in connection with the preparation, execution and delivery of this Amendment, including without limitation the reasonable fees and expenses of the Agent’s legal counsel.
		

		
			 
		

		
			4.6Further Assurances.  The Loan Parties agree to promptly take such action, upon the request of the Agent, as is necessary to carry out the intent of this Amendment.
		

		
			 
		

		
			4.7Entirety.  This Amendment and the other Loan Documents embody the entire agreement among the parties hereto and supersede all prior agreements and understandings, oral or written, if any, relating to the subject matter hereof.
		

		
			 
		

		
			4.8Counterparts; Telecopy.  This Amendment may be executed in any number of counterparts, each of which when so executed and delivered shall be an original, but all of which shall constitute one and the same instrument.  Delivery of an executed counterpart to this Amendment by telecopy or other electronic means shall be effective as an original and shall constitute a representation that an original will be delivered.  
		

		
			 
		

		
			4.9No Actions, Claims, Etc.  As of the date hereof, each of the Loan Parties hereby acknowledges and confirms that it has no knowledge of any actions, causes of action, claims, demands, damages and liabilities of whatever kind or nature, in law or in equity, against the Agent, the Lenders, or the Agent’s or the Lenders’ respective officers, employees, representatives, agents, counsel or directors 

		 

		

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arising from any action by such Persons, or failure of such Persons to act under the Credit Agreement on or prior to the date hereof.  
		

		
			 
		

		
			4.10GOVERNING LAW.    THIS AMENDMENT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO THE CONFLICTS OF LAWS PRINCIPLES THEREOF, BUT INCLUDING SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW.
		

		
			 
		

		
			4.11Successors and Assigns.  This Amendment shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.
		

		
			 
		

		
			4.12General Release.  In consideration of the Agent’s and the Required Lenders’ willingness to enter into this Amendment, each Loan Party hereby releases and forever discharges the Agent, the Lenders and the Agent’s, and the Lender’s respective predecessors, successors, assigns, officers, managers, members, partners, equityholders, directors, employees, agents, attorneys, representatives, and affiliates (hereinafter all of the above collectively referred to as the “Bank Group”), from any and all claims, counterclaims, demands, damages, debts, suits, liabilities, actions and causes of action of any nature whatsoever, including, without limitation, all claims, demands, and causes of action for contribution and indemnity, whether arising at law or in equity, whether known or unknown, whether liability be direct or indirect, liquidated or unliquidated, whether absolute or contingent, foreseen or unforeseen, and whether or not heretofore asserted, which any Loan Party may have or claim to have against any of the Bank Group in any way related to or connected with the Loan Documents and the transactions contemplated thereby.
		

		
			 
		

		
			4.13Consent to Jurisdiction; Service of Process; Waiver of Jury Trial.  The jurisdiction, service of process and waiver of jury trial provisions set forth in Section 12 of the Credit Agreement are hereby incorporated by reference, mutatis mutandis.
		

		
			 
		

		
			 
		

		
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			6

		

 

		

			 

		

		

		
			IN WITNESS WHEREOF the parties hereto have caused this Amendment to be duly executed on the date first above written.
		

		
			 
		

		
			BORROWERS:INVENTURE FOODS, INC.,  
		

		
			a Delaware corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			RADER FARMS, INC.,
		

		
			 a Delaware corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			INVENTURE - GA, INC.,  
		

		
			a Delaware corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			WILLAMETTE VALLEY FRUIT COMPANY,  
		

		
			a Delaware corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			
		

		
			

		 

		

			SIGNATURE PAGE TO 

		

		

			LIMITED WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT

		

		

			 

		

 

		

			 

		

		

		
			POORE BROTHERS-BLUFFTON, LLC,  
		

		
			a Delaware limited liability company
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			BOULDER NATURAL FOODS, INC.,  
		

		
			an Arizona corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			Tejas pb distributing, INC.,  
		

		
			an Arizona corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			LA COMETA PROPERTIES, INC.,  
		

		
			an Arizona corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			BN FOODS, INC.,  
		

		
			a Colorado corporation
		

		
			 
		

		
			By:  /s/ Steve Weinberger
		

		
			Name:  Steve Weinberger
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			 
		

		
			 
		

		
			 
		

		
			

		 

		

			SIGNATURE PAGE TO

		

		

			LIMITED WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT

		

		

			DMSLIBRARY01\30373416.v10

		

 

		

			 

		

		

		
			 
		

		
			AGENT AND LENDERS:BSP AGENCY, LLC, a Delaware limited liability company, as Agent
		

		
			By:  /s/ Bryan Martoken                             
		

		
			Name:  Bryan Martoken
		

		
			Title:  Chief Financial Officer
		

		
			 
		

			
					
						PECM STRATEGIC FUNDING L.P., 

					
						as a Lender 

				

		
			By: PECM Strategic Funding GP, L.P., its
		

		
			 general partner
		

		
			 
		

		
			By: PECM Strategic Funding GP Ltd., 
		

		
			its general partner 
		

		
			 
		

		
			By:  /s/ Bryan Martoken    
		

		
			Name:  Bryan Martoken
		

		
			Title:  Chief Financial Officer 
		

		
			 
		

			
					
						GRIFFIN-BENEFIT STREET PARTNERS BDC CORP, as a Lender 

					
						 

					
						 

				

		
			By: /s/ Randy Anderson
		

		
			Name:  Randy Anderson
		

		
			Title:   Authorized Signer
		

		
			 
		

			
					
						BENEFIT STREET PARTNERS SMA-C L.P., as a Lender 

				

		
			
		

		
			 
		

		
			By: /s/ Bryan Martoken
		

		
			Name:  Bryan Martoken
		

		
			Title:  Chief Financial Officer
		

		

		 

		

			SIGNATURE PAGE TO

		

		

			LIMITED WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT

		

		

			 

		

 

		

			 

		

	
					
						

					
						 

					
						 

				
	
					
						PROVIDENCE DEBT FUND III L.P.,  

					
						as a Lender 

				

		
			 
		

		
			By: Providence Debt Fund III GP L.P., its general 
		

		
			partner
		

		
			 
		

		
			By: Providence Debt Fund III Ultimate GP Ltd., its
		

		
			general partner
		

		
			 
		

		
			By: /s/ Bryan Martoken
		

		
			Name:  Bryan Martoken
		

		
			Title:  Chief Financial Officer    
		

		
			 
		

			
					
						 

					
						 

					
						BENEFIT STREET PARTNERS CAPITAL OPPORTUNITY FUND SPV LLC, as a Lender 

					
						 

				

		
			By: Benefit Street Partners Capital Opportunity Fund L.P., its managing member
		

		
			 
		

		
			By: Benefit Street Partners Capital Opportunity Fund GP L.P., its general partner
		

		
			 
		

		
			By: Benefit Street Partners Capital Opportunity Fund Ultimate GP LLC, its general partner
		

		
			 
		

		
			By: /s/ Bryan Martoken
		

		
			Name:  Bryan Martoken
		

		
			Title:  Chief Financial Officer
		

		
			 
		

		
			

		 

		

			SIGNATURE PAGE TO

		

		

			LIMITED WAIVER AND THIRD AMENDMENT TO CREDIT AGREEMENT

		

		

			DMSLIBRARY01\30373416.v10

		

 

		

			 

		

		

		
			Schedule 5.1
		

		
			 
		

		
			Financial Statements, Reports, Certificates
		

		
			 
		

		
			Deliver to Agent (and if so requested by Agent, with copies for each Lender) each of the financial statements, reports, or other items set forth below at the following times in form satisfactory to Agent:
		

		
			 
		

			
					
						 

					
						 

					
						 

					
					
						 

					
						(a)

					
						(b)

					
						(c)

					
						 

				
	
					
						 

					
						if an Event of Default has occurred and is continuing and in any event, commencing with the fiscal month ending June 30, 2017, as soon as available, but in any event within 15 days after the end of each month during each of Borrower’s fiscal years,

					
						 

					
					
						 

					
						an unaudited consolidated and consolidating balance sheet, income statement, statement of cash flow and statement of shareholder’s equity covering Parent Borrower’s and its Subsidiaries’ operations during such period and compared to the prior period and plan, together with a corresponding discussion and analysis of results from management, 

					
						(d)a Compliance Certificate along with the underlying calculations, including the calculations to arrive at EBITDA,

					
						(e)to the extent applicable, a calculation of the Fixed Charge Coverage Ratio and the Total Leverage Ratio that is required to be delivered under the Agreement, and

					
						(f)any compliance certificate delivered under the ABL Credit Agreement.

				
	
					
						 

					
						as soon as available, but in any event within 45 days after the end of each quarter during each of Parent Borrower’s fiscal years,

					
						 

					
					
						 

					
						an unaudited consolidated and consolidating balance sheet, income statement, statement of cash flow and statement of shareholder’s equity covering Parent Borrower’s and its Subsidiaries’ operations during such period and compared to the prior period and plan, prepared in accordance with GAAP as well as on an internally-determined “mark-to-market” basis, together with a corresponding discussion and analysis of results from management, 

					
						(a)a Compliance Certificate along with the underlying calculations, including the calculations to arrive at EBITDA to the extent applicable,

					
						(b)a calculation of the Fixed Charge Coverage Ratio and Total Leverage Ratio that is required to be delivered under the Agreement, 

					
						(c)a certification of compliance with all applicable United States Department of Agriculture and the Food and Drug Administration rules and policies and rules and policies of any other Governmental Authority relating to Food Security Laws, including, if requested by Agent, a third-party expert certification audit or Food and Drug Administration inspection of the Loan Parties quality system, and

					
						(d)any compliance certificate delivered under the ABL Credit Agreement.

				

		 

		

			 

		

 

		

			 

		

	
					
						

					
						 

					
						as soon as available, but in any event within 90 days after the end of each of Parent Borrower’s fiscal years,

					
						 

					
					
						 

					
						(a)consolidated and consolidating financial statements of Parent Borrower and its Subsidiaries for each such fiscal year, audited by independent certified public accountants reasonably acceptable to Agent and certified, without any qualifications (including any (A) “going concern” or like qualification or exception, (B) qualification or exception as to the scope of such audit, or (C) qualification which relates to the treatment or classification of any item and which, as a condition to the removal of such qualification, would require an adjustment to such item, the effect of which would be to cause any noncompliance with Article 7 of the Agreement (other than any qualification or exception attributable solely to the occurrence of the stated maturity of any Revolving Loans within 12 months after the date of such opinion)), by such accountants to have been prepared in accordance with GAAP (such audited financial statements to include a balance sheet, income statement, statement of cash flow, and statement of shareholder’s equity, and, if prepared, such accountants’ letter to management), as well as on an internally-determined “mark-to-market” basis, 

					
						(b)a Compliance Certificate along with the underlying calculations, including the calculations to arrive at EBITDA to the extent applicable, 

					
						(c)a calculation of the Fixed Charge Coverage Ratio and Total Leverage Ratio that is required to be delivered under the Agreement, and

					
						(d)any compliance certificate delivered under the ABL Credit Agreement.

				
	
					
						 

					
						as soon as available, but in any event within 15 days after the start of each of Parent Borrower’s fiscal years,  

					
					
						 

					
						(e)copies of Parent Borrower’s Projections, in form and substance (including as to scope and underlying assumptions) satisfactory to Agent, exercising reasonable (from the perspective of a secured term-based lender) business judgment, for the forthcoming 3 years, certified by the chief financial officer of Parent Borrower as being such officer’s good faith estimate of the financial performance of Parent Borrower during the period covered thereby.

				
	
					
						 

					
						if and when filed by Parent Borrower,

					
					
						 

					
						(f)Form 10-Q quarterly reports, Form 10-K annual reports, and Form 8-K current reports (if any when requested by Agent), 

					
						(g)any other filings made by Parent Borrower with the SEC, and 

					
						(h)any other information that is provided by Parent Borrower to its shareholders generally.

				

		 

		

			 

		

 

		

			 

		

	
					
						

					
						promptly, but in any event within 5 days after any Loan Party has knowledge of any event or condition that constitutes a Default or an Event of Default, 

					
					
						(i)notice of such event or condition and a statement of the curative action that the Borrowers propose to take with respect thereto.

				
	
					
						promptly after the commencement thereof, but in any event within 5 days after the service of process with respect thereto on Parent Borrower or any of its Subsidiaries,

					
					
						(j)notice of all actions, suits, or proceedings brought by or against Parent Borrower or any of its Subsidiaries before any Governmental Authority which reasonably could be expected to result in a Material Adverse Effect. 

				
	
					
						 

					
						upon the request of Agent,

					
						 

					
					
						 

					
						(a)any other information reasonably requested relating to the financial condition of Parent Borrower or its Subsidiaries.

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