Document:

Exhibit

EXECUTION VERSION

FIFTH AMENDMENT TO CREDIT AGREEMENT

THIS FIFTH AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) dated as of May 5, 2017, is by and among CSI COMPRESSCO LP, a Delaware limited partnership formerly known as Compressco Partners, L.P. (“Compressco LP”), CSI COMPRESSCO SUB INC., a Delaware corporation formerly known as Compressco Partners Sub, Inc. (together with Compressco LP, the “Borrowers” and each a “Borrower”), the other Loan Parties party hereto, BANK OF AMERICA, N.A., as administrative agent (in such capacity, together with its successors in such capacity, the “Administrative Agent”) and as collateral agent (in such capacity, together with its successors in such capacity, the “Collateral Agent”), in each case, for the lenders party to the Credit Agreement referred to below (the “Lenders”), the Lenders and other Persons party hereto.
R E C I T A L S
A.    The Borrowers, the Administrative Agent, the Collateral Agent, the Lenders, the Swing Line Lender, the L/C Issuer and the other agents referred to therein are parties to that certain Credit Agreement dated as of August 4, 2014 (as amended, restated, amended and restated or otherwise modified from time to time, including, without limitation, by the First Amendment to Credit Agreement, dated as of December 18, 2014, the Second Amendment to Credit Agreement, dated as of April 1, 2015, the Third Amendment to Credit Agreement, dated as of May 25, 2016 and the Fourth Amendment to Credit Agreement dated as of November 3, 2016, the “Credit Agreement”), pursuant to which the Lenders have made certain Loans and provided certain Commitments (subject to the terms and conditions thereof) to the Borrowers.
B.    The Borrowers have previously informed the Administrative Agent that they desire to amend certain provisions of the Credit Agreement as set forth herein, including, without limitation, certain financial covenants and certain related provisions and to confirm the appointment of each of Merrill Lynch, Pierce, Fenner & Smith Incorporated and JPMorgan Chase Bank, N.A. as joint lead arrangers and joint bookrunners for purposes of this Amendment. 
NOW, THEREFORE, in consideration of the premises and the mutual covenants herein contained, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
Section 1.Defined Terms.  Each capitalized term used herein but not otherwise defined herein has the meaning given such term in the Credit Agreement.  Unless otherwise indicated, all article, schedule, exhibit and section references in this Amendment refer to articles, schedules, exhibits and sections of the Credit Agreement.
Section 2.    Amendments to Credit Agreement.  
2.1    Amendment to Section 1.01 of the Credit Agreement: Section 1.01 of the Credit Agreement is amended as follows:
(a)    The definition of Applicable Rate is hereby amended and restated in its entirety to read as follows:
““Applicable Rate” means (i) prior to the delivery by the Parent Borrower to the Administrative Agent of financial statements for the quarter ending June 30, 2017 pursuant to Section 6.01, (x) in the case of Eurodollar Rate Loans, 3.25% per annum, (y) in the case of Base Rate Loans, 

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2.25% and (z) in the case of the commitment fee, 0.50%  (ii) after the delivery by the Parent Borrower to the Administrative Agent of financial statements for the quarter ending June 30, 2017 pursuant to Section 6.01,  the following percentages (expressed in basis points) per annum,  based upon the Consolidated Total Leverage Ratio as set forth in the most recent Compliance Certificate received by the Administrative Agent pursuant to Section 6.02(a):

	
					
	Pricing Level
	Consolidated Total Leverage Ratio
	Commitment Fee
	Eurodollar Rate Loans +
Letters of Credit 
	Base Rate Loans +

	1
	≤ 3.00:1.00
	37.50 bps
	200 bps
	100 bps

	2
	≤ 3.75:1.00 but > 3.00:1.00
	37.50 bps
	225 bps
	125 bps

	3
	≤ 4.50:1.00 but > 3.75:1.00
	50.00 bps
	250 bps
	150 bps

	4
	≤ 5.00:1.00 but > 4.50:1.00
	50.00 bps
	275 bps
	175 bps

	5
	≤ 5.50:1.00 but > 5.00:1.00
	50.00 bps
	300 bps
	200 bps

	6
	≤ 6.00:1.00 but > 5.50:1.00
	50.00 bps
	325 bps
	225 bps

	7
	> 6.00:1.00
	50.00 bps
	350 bps
	250 bps

Any increase or decrease in the Applicable Rate resulting from a change in the Consolidated Total Leverage Ratio shall become effective as of the first Business Day immediately following the date a Compliance Certificate is delivered pursuant to Section 6.02(a); provided, however, that if a Compliance Certificate is not delivered when due in accordance with such Section, then Pricing Level 7 shall apply as of the first Business Day after the date on which such Compliance Certificate was required to have been delivered and shall remain in effect until the date on which such Compliance Certificate is delivered.  
Notwithstanding anything to the contrary contained in this definition, the determination of the Applicable Rate for any period shall be subject to the provisions of Section 2.10(b).”
(b)    The definition of Arranger is hereby amended and restated in its entirety as follows:
2    ““Arranger” means (i) for all purposes other than the Fifth Amendment, Merrill Lynch, Pierce, Fenner & Smith Incorporated, in its capacities as sole lead arranger and bookrunner and (ii) for the purposes of the Fifth Amendment, each of Merrill Lynch, Pierce, Fenner & Smith Incorporated and JPMorgan Chase Bank, N.A. in its capacities as joint lead arranger and joint bookrunner.”
(c)    The definition of Consolidated Interest Charges is hereby amended and restated in its entirety as follows:
“Consolidated Interest Charges” means, for any period, for Parent Borrower and its Subsidiaries on a consolidated basis, the sum of (a) all interest, premium payments, debt 

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discount, fees, charges and related expenses of Parent Borrower and its Subsidiaries in connection with borrowed money (including capitalized interest) or in connection with the deferred purchase price of assets, in each case to the extent treated as interest in accordance with GAAP, excluding one-time charges in respect of loan origination or similar fees and non-cash amortized amounts with respect thereto (including, for the avoidance of doubt, debt issuance costs), (b) the portion of rent expense of Parent Borrower and its Subsidiaries with respect to such period under Capitalized Leases that is treated as interest in accordance with GAAP and (c) to the extent not included in clause (a), cash distributions in respect of Perpetual Preferred Equity Interests.”
(d)    The definition of Disqualified Equity Interest is hereby amended by deleting the “.” appearing at the end thereof and adding the following immediately after the words “Maturity Date”:
“; provided, that in no event shall Perpetual Preferred Equity Interest constitute Disqualified Equity Interest.”
(e)    The definition of Indebtedness is hereby amended by adding the following to the end of such definition:
“For the avoidance of doubt, Perpetual Preferred Equity Interest shall not constitute Indebtedness.”
(f)    The following definitions are hereby added to Section 1.01 of the Credit Agreement in the appropriate alphabetical order:
1    ““Fifth Amendment” means that certain Fifth Amendment to Credit Agreement, dated as of the Fifth Amendment Effective Date, by and among the Borrowers, the Administrative Agent, the Lenders party thereto and any other Person party thereto.”
2    ““Fifth Amendment Effective Date” means May 5, 2017.” 
3    ““Perpetual Preferred Equity Interest” means any Equity Interest issued pursuant to a Perpetual Preferred Equity Issuance.”
““Perpetual Preferred Equity Issuance” means any issuance of preferred units, issued in one or more series (i) with a perpetual term, (ii) which is not mandatorily redeemable, (iii) which provides for scheduled payments or dividends in cash, (iv) which does not become convertible into or exchangeable for Indebtedness or any other Equity Interests that would constitute Disqualified Equity Interests, in each case, prior to the date that is 91 days after the Maturity Date, (v) which results in a total aggregate issued amount of such Perpetual Preferred Equity Interests not to exceed $75,000,000 and (vi) which is issued (or, if applicable, later amended or modified) pursuant to terms and documentation reasonably satisfactory to the Administrative Agent in its sole discretion.”
2.2    Amendment to Section 2.05 of the Credit Agreement:  Section 2.05 of the Credit Agreement is hereby amended as follows:
(a)    Clause (j) of Section 2.05 of the Credit Agreement is hereby amended and restated as follows:

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“(j)    If, as of the end of any Business Day, the consolidated cash and Cash Equivalents (other than (i) any cash set aside in a deposit account in Argentina, Canada or Mexico in the ordinary course of business, (ii) any cash amounts from the issuances of Equity Interests set aside for repurchases of Senior Notes in accordance with Section 7.12 (and subject to any limits therein) or (iii) any cash amounts from the issuances of Equity Interests set aside to consummate one or more acquisitions otherwise permitted by the Loan Documents and occurring within 90 days after the applicable such issuance of Equity Interests) balance of the Parent Borrower exceeds $35,000,000 (the amount of such excess being referred to as the “Excess Cash Amount”), then, within five (5) Business Days of such date, the Borrowers shall prepay Loans in an  amount equal to the lesser of (x) such Excess Cash Amount and (y) the aggregate principal amount of all Loans outstanding at such time.  Such prepayment will not result in the reduction of the Aggregate Commitments.”

(b)    A new clause (k) is added to  Section 2.05 of the Credit Agreement at the end of said Section to read as follows:
“(k)    Upon any Perpetual Preferred Equity Issuance, the Parent Borrower shall, prepay an aggregate principal amount of Loans equal to 50% of all proceeds therefrom immediately upon receipt.”
2.3    Amendment to Section 6.19 of the Credit Agreement:  Section 6.19 of the Credit Agreement is hereby amended and restated in its entirety to read as follows:
“6.19    Delivery of Appraisal.  Deliver, or cause to be delivered on August 5 and February 5 of each year (or, in each case, such later date agreed upon by the Administrative Agent in its sole discretion) to the Administrative Agent an appraisal report from an Approved Appraiser with respect to the Compressor Equipment, in form and substance reasonably satisfactory to the Administrative Agent (it being understood that (a) such appraisal shall, among other things, provide reasonable detail on (i) fair market values of the Compressor Equipment and (ii) Orderly Liquidation Value of the Compressor Equipment and (b) the Initial Appraisal Report was conducted on the basis of field exams while subsequent appraisal reports shall, regardless of whether a field exam is completed, be based on data collected and verified no more than thirty (30) days prior to delivery of such appraisal report); provided that, the Administrative Agent may request (or shall request at the direction of the Required Lenders) for any reason (including, without limitation, the fact that Excess Availability is less than the Liquidity Threshold (or Excess Availability has not exceeded the Liquidity Threshold for sixty (60) consecutive days thereafter)) one (1) additional appraisal report from an Approved Appraiser otherwise consistent with the forgoing requirements in between each semi-annual delivery made pursuant to this Section 6.19; provided further, that, notwithstanding anything else to the contrary, if an Event of Default has occurred and is continuing, the Administrative Agent may request an appraisal report from an Approved Appraiser with respect to the Compressor Equipment at any time from time to time.  Notwithstanding anything else to the contrary herein, (x) the Parent Borrower agrees to reimburse all reasonable fees, costs and expenses of the Approved Appraiser in connection with delivery of the appraisals required hereunder and (y) upon request by the Administrative Agent, the Parent Borrower agrees to use commercially reasonable efforts to allow an Approved Appraiser and a representative of the Administrative Agent to accompany a 

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representative of the Parent Borrower in visiting any customer location where Compressor Equipment is located in connection with the preparation of any such appraisal.”

2.4    Amendment to Section 7.04 of the Credit Agreement: The closing paragraph of Section 7.04 of the Credit Agreement is hereby amended and restated in its entirety to read as follows:
“No Loan Party shall issue any Equity Interests which (i) may be classified in whole or part as Indebtedness under GAAP, (ii) require mandatory distributions (other than dividends or distributions of additional Equity Interests of such type permitted under Section 7.06(b), distributions of Available Cash permitted under Section 7.06(d) or distributions of cash permitted under Section 7.06(i)) or mandatory redemption prior to 91 days after the Maturity Date, or (iii) provide for a scheduled distribution above generally prevailing market rates at the time of issuance (other than distributions of Available Cash or distributions of cash permitted under Section 7.06(i)). In no event shall any Loan Party issue Perpetual Preferred Equity Interest in an aggregate amount exceeding $75,000,000.  No Subsidiary of Parent Borrower will issue any additional Equity Interests, except a direct Subsidiary of a Loan Party may issue additional Equity Interests to such Loan Party or to the Parent Borrower so long as (i) such Subsidiary is a wholly-owned Subsidiary of the Parent Borrower (or is Finance Co) after giving effect thereto, and (ii) such Equity Interests shall be pledged to the Collateral Agent for the benefit of the Lenders pursuant to Security Documents acceptable to the Collateral Agent.”
2.5    Amendments to Section 7.06 of the Credit Agreement: Section 7.06 of the Credit Agreement is hereby amended as follows: 
(a)     The beginning of said Section through subsection (b) thereof is hereby amended and restated as follows: 
“7.06   Restricted Payments.  Declare or make, directly or indirectly, any Restricted Payment, or incur any obligation (contingent or otherwise) to do so, except that, so long as no Default shall have occurred and be continuing at the time of any such action described below or would result therefrom and, with respect to any of the below actions other than clauses (a) and (b), after giving effect thereto Excess Availability shall be no less than the Liquidity Threshold:
(a)    each Subsidiary of the Parent Borrower may make Restricted Payments to the Parent Borrower and any other Person that owns an Equity Interest in such Subsidiary ratably according to their respective holdings of the type of Equity Interest in respect of which such Restricted Payment is being made;
(b)    Parent Borrower and each Subsidiary may declare and make dividend payments or other distributions payable solely in the Equity Interests that are not Disqualified Equity Interests of such Person and Parent Borrower may issue Equity Interests that are not Disqualified Equity Interests upon the conversion of Equity Interests that are not Disqualified Equity Interests;”
(b)    Said Section is also amended by deleting the “and” at the end of subsection (g) of such Section, replacing the “.” at the end of subsection (h) of such Section with “; and” and by adding 

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a new subsection (i) to the end of such Section in the appropriate alphabetical place, as set forth below:
“(i) Parent Borrower may declare and make cash distributions to holders of Preferred Perpetual Equity Interests.”
2.6    Amendment to Section 7.12 of the Credit Agreement: Section 7.12 of the Credit Agreement is hereby amended and restated in its entirety as follows:
“7.12  Prepayments of Debt.  Directly or indirectly, make (or give any notice in respect of) any voluntary or optional payment or prepayment on or redemption or acquisition for value of, or any prepayment, repurchase or redemption as a result of any asset sale, change of control or similar event of, any outstanding Senior Notes or Debt Issue, except (a) any payment, prepayment, purchase, redemption, defeasance or other acquisition or retirement for value of any such Indebtedness with the net cash proceeds from an incurrence of, or in exchange for, a Debt Issue, (b) any payment, prepayment, purchase, redemption, defeasance or other acquisition or retirement for value of any such Indebtedness in exchange for Equity Interests (other than Disqualified Equity Interests) in the Parent Borrower, (c) any payment, prepayment, purchase, redemption, defeasance or other acquisition or retirement for value of any such Indebtedness with the net cash proceeds from an issuance of Equity Interests (other than Disqualified Equity Interests) in the Parent Borrower; provided, however, that (i) any such payment, prepayment, purchase, redemption, defeasance or other acquisition or retirement for value referred to in clause (b) or (c) above, (A) shall be at a price below par value, (B) shall not be consummated prior to the Third Amendment Effective Date, or more than 180 days after the issuance of such Equity Interests and (C) shall be paid with funds exclusively from issuances of such Equity Interests (or in the case of an exchange, made with Equity Interests issued) on and after the Third Amendment Effective Date, (ii) the amount of all such Indebtedness repurchased hereunder does not exceed the amount of such Senior Notes outstanding on the Third Amendment Effective Date and (iii) (A) the amount of proceeds from the Series A Convertible Equity Issuance used in any payment, prepayment, purchase, redemption, defeasance or other acquisition or retirement for value of any such Indebtedness, whether directly or subsequent to a repayment and reborrowing of Loans as contemplated by the last sentence of this Section 7.12, shall not exceed $55,000,000 in the aggregate and (B) the amount of proceeds from any Perpetual Preferred Equity Issuance used in any payment, prepayment, purchase,  redemption, defeasance or other acquisition or retirement for value of any such Indebtedness, whether directly or subsequent to a repayment and reborrowing of Loans as contemplated by the last sentence of this Section 7.12, shall not exceed in the aggregate 50% of the amount of proceeds raised cumulatively from any Perpetual Preferred Equity Issuance, and (d) notices in respect of repurchases (but not the repurchases themselves) pursuant to “change of control” or “asset sale” provisions of the Senior Notes or a Debt Issue.  For the avoidance of doubt, to effect a transaction pursuant to clause (c) above, the Borrowers may use the proceeds of such issuance of Equity Interests to repay Loans and subsequently borrow such amount (subject to the conditions in Section 4.02).”
2.7    Amendment to Section 7.15 of the Credit Agreement: Section 7.12 of the Credit Agreement is hereby amended and restated in its entirety as follows:

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“7.15   Amendments to Organizational Documents and Certain Other Documents.  (a) Amend, modify or otherwise change, or consent to any amendment, modification or change to (or otherwise permit) or waive any material right or obligation of any Person under, its Organization Documents, except to the extent that, such amendment, modification, changes and consents (i) does not violate the terms and conditions of this Agreement or any of the other Loan Documents and (ii)(A) could not reasonably be expected to have an adverse effect on the Administrative Agent, the Collateral Agent, the Lenders, the L/C Issuer, or any Loan Parties or (B) relates solely to a Perpetual Preferred Equity Issuance as approved in advance by the Administrative Agent in its sole discretion, such approval not to be unreasonably withheld, (b) amend, modify or otherwise change, or consent to any amendment, modification or change to (or otherwise permit) the definition of Available Cash (or any related definitions having similar effect) in the Partnership Agreement, except with respect to amendments, modifications or changes that relate solely to a Perpetual Preferred Equity Issuance as approved in advance by the Administrative Agent in its sole discretion, such approval not to be unreasonably withheld or (c) amend, modify or otherwise change, or consent to any amendment, modification or change to (or otherwise permit) the terms of or documents evidencing the Senior Notes, a  Debt Issue, or any LP Bridge Loan, in a manner that could reasonably be expected to be adverse to the Lenders.”
2.8    Amendment to Section 7.19(b) of the Credit Agreement: Section 7.19(b) of the Credit Agreement is hereby amended and restated in its entirety as follows:
“(b) Consolidated Total Leverage Ratio.  Permit the Consolidated Total Leverage Ratio as of the end of any fiscal quarter of the Parent Borrower to exceed the amounts set forth in the table below for each date of determination: 
	
		
	March 31, 2017
	5.95:1.00

	June 30, 2017
	6.75:1.00

	September 30, 2017
	6.75:1.00

	December 31, 2017
	6.50:1.00

	March 31, 2018
	6.50:1.00

	June 30, 2018
	6.25:1.00

	September 30, 2018
	6.25:1.00

	December 31, 2018
	6.00:1.00

	March 31, 2019 and thereafter
	5.75:1.00

2.9    Amendment to Section 7.19(c) of the Credit Agreement: Section 7.19(c) of the Credit Agreement is hereby amended and restated in its entirety as follows:

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“(c)     Consolidated Secured Leverage Ratio.  Permit the Consolidated Secured Leverage Ratio as of the end of any fiscal quarter of the Parent Borrower to exceed 3.25:1.00.” 
2.10    Addition of Section 7.23 to the Credit Agreement: A new Section 7.23 of the Credit Agreement is hereby added in the appropriate numerical place to read as follows:
“7.23    Redemption of Perpetual Preferred Equity Interests: Redeem, purchase, retire or defease any Perpetual Preferred Equity Interest after a Perpetual Preferred Equity Issuance prior to 91 days after the Maturity Date.”
2.11    Amendment to Section 8.01 of the Credit Agreement: Clause (i) of Section 8.01(e) of the Credit Agreement is hereby amended and restated in its entirety to read as follows:
“(i) The Parent Borrower or any Subsidiary (A) fails to make any payment when due (whether by scheduled maturity, required prepayment, acceleration, demand, or otherwise) in respect of any Indebtedness or Guarantee (other than Indebtedness hereunder and Indebtedness under Hedging Contracts) or Perpetual Preferred Equity Interest, in each case, having an aggregate principal amount (including undrawn committed or available amounts and including amounts owing to all creditors under any combined or syndicated credit arrangement) (or, in the case of Perpetual Preferred Equity Interests, having an aggregate outstanding amount) of more than the Threshold Amount, or (B) fails to observe or perform any other agreement or condition relating to any such Indebtedness, Guarantee or Perpetual Preferred Equity Interest contained in any instrument or agreement evidencing, securing or relating thereto, or any other event occurs, the effect of which default or other event is to cause, or to permit the holder or holders of such Indebtedness or the beneficiary or beneficiaries of such Guarantee (or a trustee or agent on behalf of such holder or holders or beneficiary or beneficiaries) or the holder or beneficiary of a Perpetual Preferred Equity Interest to cause, with or without the giving of notice, the passage of time, or both, such Indebtedness or Perpetual Preferred Equity Interest, as applicable, to be demanded or to become due or to be repurchased, prepaid, defeased or redeemed (automatically or otherwise), or an offer to repurchase, prepay, defease or redeem such Indebtedness or Perpetual Preferred Equity Interest, as applicable, to be made, prior to its stated maturity, if any, or such Guarantee to become payable or cash collateral in respect thereof to be demanded; or” 
2.12    Amendment to Section 9.08 of the Credit Agreement: Section 9.08 of the Credit Agreement is hereby amended and restated in its entirety as follows:

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“9.08    No Other Duties, Etc.  Anything herein to the contrary notwithstanding, no bookrunner, joint bookrunner, arranger, joint arranger, joint lead arranger, syndication agent, co-syndication agent, documentation agent or co-documentation agent listed on the cover page hereof or otherwise appointed under or in connection with any Loan Document, shall have any powers, duties or responsibilities under this Agreement or any of the other Loan Documents, except in its capacity, as applicable, as an Agent, a Lender or the L/C Issuer hereunder.”
2.13    Amendment to Exhibit D (Form of Compliance Certificate): Exhibit D of the Credit Agreement is hereby deleted in its entirety and the Exhibit D attached hereto as Annex A is inserted in its place.
Section 3.    Conditions Precedent.  This Amendment shall not become effective until the date (the “Fifth Amendment Effective Date”) on which each of the following conditions is satisfied (or waived in accordance with Section 10.01 of the Credit Agreement):
3.1    Counterparts.  The Administrative Agent shall have received from the Borrowers, the other Loan Parties, the Required Lenders, the L/C Issuer, the Swing Line Lender, the Administrative Agent and Collateral Agent, executed counterparts (in such number as may be requested by the Administrative Agent) of this Amendment.
3.2    No Default or Event of Default.  As of the Fifth Amendment Effective Date after giving effect to this Amendment, no Default or Event of Default shall have occurred and be continuing.  
3.3    Fees.  The Administrative Agent and the Lenders shall have received all fees and other amounts due and payable on or prior to the Fifth Amendment Effective Date, including to the extent invoiced, reimbursement or payment of all out-of-pocket expenses required to be reimbursed or paid by the Borrowers under the Credit Agreement (including, but not limited to, the fees, disbursements and other charges of Latham & Watkins LLP, as counsel to the Administrative Agent).  Without limiting the foregoing, each Lender party hereto shall receive a fee from the Borrowers equal to 25 bps payable on the amount of each such Lender’s Commitment under the Credit Agreement after giving effect to this Amendment on and as of the Fifth Amendment Effective Date.
3.4    Compressco LP shall have provided the Administrative Agent evidence reasonably satisfactory to the Administrative Agent in its sole discretion that the quarterly cash distribution payable on common units of Compressco LP shall have been no more than $0.1875 per common unit for the quarterly period ended March 31, 2017.
3.5    Other Documents.  The Administrative Agent shall have received such other documents as the Administrative Agent (or its counsel) may reasonably request relating to the transactions contemplated by this Amendment.
The Administrative Agent shall notify the Borrowers and the Lenders of the Fifth Amendment Effective Date, and such notice shall be conclusive and binding.
For purposes of determining compliance with the conditions specified in this Section 3, each Lender that has signed this Amendment shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter required thereunder to be consented to or approved by or acceptable or 

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satisfactory to a Lender unless the Administrative Agent shall have received notice from such Lender prior to the proposed Fifth Amendment Effective Date specifying its objection thereto.
Section 4.    Miscellaneous.
4.1    Confirmation.  The provisions of the Loan Documents, as amended by this Amendment, shall remain in full force and effect in accordance with their terms following the effectiveness of this Amendment.
4.2    Ratification and Affirmation; Representations and Warranties.  Each of the Borrowers and other Loan Parties does hereby adopt, ratify, and confirm the Credit Agreement and the other Loan Documents to which it is a party, as amended hereby, and its obligations thereunder.  Each of the Loan Parties hereby (a) acknowledges, renews and extends its continued liability under, each Loan Document, as amended hereby, to which it is a party and agrees that each Loan Document, as amended hereby, to which it is a party remains in full force and effect, notwithstanding the amendments contained herein and (b) represents and warrants to the Administrative Agent and the Lenders that:  (i) as of the date hereof and as of the Fifth Amendment Effective Date, after giving effect to the terms of this Amendment, all of the representations and warranties contained in each Loan Document, or which are contained in any document furnished at any time under or in connection therewith,  to which it is a party are true and correct in all material respects (except for such representations and warranties that have a materiality or Material Adverse Effect qualification, which shall be true and correct in all respects), except to the extent any such representations and warranties specifically refer to an earlier date, in which case, such representations and warranties shall continue to be true and correct in all material respects (except for such representations and warranties that have a materiality or Material Adverse Effect qualification, which shall be true and correct in all respects) as of such specified earlier date, (ii) (A) as of the date hereof and as of the Fifth Amendment Effective Date, no Default or Event of Default has occurred and is continuing and (B) immediately after giving effect to this Amendment, no Default or Event of Default will have occurred and be continuing and (iii) neither of the Borrowers nor any of their Subsidiaries is an EEA Financial Institution.
4.1    General Release.  Each of the Borrowers and the other Loan Parties (on behalf of themselves and their Related Parties) hereby forever waives, releases, acquits and discharges, to the fullest extent permitted by law, any and all claims (including, without limitation, crossclaims, counterclaims, rights of set-off and recoupment), suits, demands, debts, accounts, contracts, liabilities, obligations, judgments, damages, actions and causes of actions, whether in law or in equity, of whatsoever nature and kind, whether known or unknown, whether now or hereafter existing, that the Borrowers or any other Loan Party (and each of their Related Parties) at any time had or has, or that its successors, assigns, affiliates, shareholders and “controlling persons” (within the meaning of federal securities laws) hereafter can or may have against the Administrative Agent, Collateral Agent, the L/C Issuer, the Swing Line Lender, any Arranger, any Lender or any of their Related Parties through the date hereof, in each case in connection with the Credit Agreement, the other Loan Documents, all other documents executed in connection therewith, and the transactions contemplated thereby.
4.2    Loan Document.  This Amendment and each agreement, instrument, certificate or document executed by the Borrowers, any Loan Party or any of their officers in connection therewith are “Loan Documents” as defined and described in the Credit Agreement and all of the terms and provisions of the Loan Documents relating to other Loan Documents shall apply hereto and thereto.
4.3    Counterparts.  This Amendment may be executed in counterparts (and by different parties hereto in different counterparts), each of which shall constitute an original, but all of which when taken 

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together shall constitute a single contract.  Delivery of an executed counterpart of a signature page of this Amendment by telecopy or other electronic imaging means (e.g., “pdf” or “tiff”) shall be effective as delivery of a manually executed counterpart of this Amendment.
4.4    NO ORAL AGREEMENT.  THIS AMENDMENT, THE CREDIT AGREEMENT AND THE OTHER LOAN DOCUMENTS EXECUTED IN CONNECTION HEREWITH AND THEREWITH REPRESENT THE FINAL AGREEMENT AMONG THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR UNWRITTEN ORAL AGREEMENTS OF THE PARTIES.  THERE ARE NO SUBSEQUENT ORAL AGREEMENTS BETWEEN THE PARTIES.
4.5    GOVERNING LAW.  THIS AMENDMENT (INCLUDING, BUT NOT LIMITED TO, THE VALIDITY AND ENFORCEABILITY HEREOF) SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK
4.6    Miscellaneous.  Section 10.14(b), (c) and (d) and Section 10.15 of the Credit Agreement shall apply to this Amendment, mutatis mutandis.  
[signature pages follow]

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IN WITNESS WHEREOF, the parties hereto have caused this Fifth Amendment to Credit Agreement to be duly executed as of the date first written above.
BORROWERS
CSI COMPRESSCO LP, 
      as a Borrower and Parent Borrower 
 
By: CSI COMPRESSCO GP INC., 
its general partner
 
 
By:      /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

CSI COMPRESSCO SUB INC., 
      as a Borrower 

By:      /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

[Signature Page to Fifth Amendment to Credit Agreement]

GUARANTORS
     
CSI COMPRESSCO FINANCE INC. (F/K/A COMPRESSCO FINANCE INC.)

By:      /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

CSI COMPRESSCO OPERATING LLC (F/K/A COMPRESSCO PARTNERS OPERATING, LLC)

By:      /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

COMPRESSOR SYSTEMS, INC.

By:      /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

[Signature Page to Fifth Amendment to Credit Agreement]

CSI COMPRESSCO FIELD SERVICES INTERNATIONAL LLC (F/K/A COMPRESSCO FIELD SERVICES INTERNATIONAL, LLC),
CSI COMPRESSCO INTERNATIONAL LLC (F/K/A COMPRESSCO INTERNATIONAL, LLC),
CSI COMPRESSCO LEASING LLC (F/K/A COMPRESSCO LEASING, LLC),
CSI COMPRESSCO HOLDINGS LLC (F/K/A COMPRESSCO HOLDINGS, LLC) 

By:  CSI COMPRESSCO OPERATING LLC (F/K/A COMPRESSCO PARTNERS OPERATING, LLC), its sole member

By:  /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

ROTARY COMPRESSOR SYSTEMS, INC.

By:      /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

CSI COMPRESSION HOLDINGS, LLC

By:  COMPRESSOR SYSTEMS, INC., 
its sole manager

By:  /s/ Joseph J. Meyer    
Name: Joseph J. Meyer
Title:  Treasurer

[Signature Page to Fifth Amendment to Credit Agreement]

BANK OF AMERICA, N.A.,
as Administrative Agent and Collateral Agent
		
	By: /s/ Linda Lov
	                                              

Name:    Linda Lov
Title:    Assistant Vice President

[Signature Page to Fifth Amendment to Credit Agreement]

BANK OF AMERICA, N.A.,
as a Lender, L/C Issuer and Swing Line Lender

By: /s/ Tyler Ellis                                
Name: Tyler Ellis
Title:   Director

[Signature Page to Fifth Amendment to Credit Agreement]

JPMorgan Chase Bank, N.A., as a Lender

By:  /s/ J. Devin Mock
Name:  J. Devin Mock 
Title:    Authorized Officer

[Signature Page to Fifth Amendment to Credit Agreement]

Banc of America Credit Products, Inc., as a Lender

By:  /s/ Margaret Sang
Name:  Margaret Sang 
Title:  Authorized Signatory

[Signature Page to Fifth Amendment to Credit Agreement]

Capital One, National Association, as a Lender

By:  /s/ Micah Spellman
Name:  Micah Spellman 
Title:  Vice President

[Signature Page to Fifth Amendment to Credit Agreement]

Barclays Bank PLC, as a Lender

By:  /s/ Jake Lam
Name:  Jake Lam 
Title:   Assistant Vice President

[Signature Page to Fifth Amendment to Credit Agreement]

BOKF, NA dba Bank of Oklahoma, as a Lender

By:  /s/ Daniel Weintraub
Name: Daniel Weintraub 
Title:  Vice President

[Signature Page to Fifth Amendment to Credit Agreement]

CIT Bank, N.A., as a Lender

By:  /s/ Michael A. Robinson
Name: Michael A. Robinson 
Title:  Vice President

[Signature Page to Fifth Amendment to Credit Agreement]

Texas Capital Bank, N.A., as a Lender

By:  /s/ Seth Laroche
Name: Seth Laroche 
Title: Vice President

Annex A

See attached.

[Signature Page to Fifth Amendment to Credit Agreement]Exhibit

Exhibit 10.1

IMPAX LABORATORIES, INC.

STOCK OPTION AGREEMENT

Pursuant to your grant notice (the “Grant Notice”) and this Stock Option Agreement (the “Agreement”), Impax Laboratories, Inc.  (the “Company”) has granted you (the “Optionee”) a nontransferable option under the Company’s Fourth Amended and Restated 2002 Equity Incentive Plan, as the same may from time to time be amended (the “Plan”), to purchase the number of shares (the “Shares”) of the Company’s common stock, par value $0.01 per share (the “Common Stock”), indicated in the Grant Notice (collectively, the “Option”).   

1.    Grant of Option. The Company has granted Optionee a nontransferable Option to purchase the number of Shares of the Company’s Common Stock as indicated in the Grant Notice at the exercise price set forth in the Grant Notice. In consideration of the grant of the Award pursuant hereto, Optionee agrees to render faithful and efficient services to the Company or any Affiliate.

If designated as an Incentive Stock Option by the Company in the Grant Notice, this Option is intended to qualify as an “incentive stock option” (“ISO”) within the meaning of Section 422 of the Code to the maximum extent permitted by law and in the event this Option is in any way inconsistent with the legal requirements of the Code or the regulations thereunder for an ISO, this Option shall be deemed automatically amended as of the date hereof to conform to such legal requirements, if such conformity may be achieved by amendment. To the extent that the number of Shares subject to this Option which are exercisable for the first time in any calendar year exceed the $100,000 limitation contained in Section 422(d) of the Code, this Option will not be considered an Incentive Stock Option.

2.    Right to Exercise. During Optionee’s continuous service with the Company or any of its Affiliates (hereinafter “Continuous Service”), this Option shall vest and become exercisable in accordance with the terms of the Grant Notice. Subject to earlier termination, to the extent that this Option has become vested and exercisable with respect to the Shares covered thereby, this Option may thereafter be exercised by Optionee, in whole or in part, at any time or from time to time prior to the date of the expiration of this Option.

3.    Restriction on Exercise. This Option may not be exercised unless such exercise is in compliance with the Securities Act and the regulations promulgated thereunder and all applicable state securities laws as they are in effect on the date of exercise, and the requirements of any stock exchange or national market system on which the Company’s Common Stock may be listed at the time of exercise.

4.    Termination of Service. Except as provided below in this Section 4, this Option shall terminate and may not be exercised if Optionee’s Continuous Service is terminated for any reason whatsoever. Optionee’s service shall not be deemed to have terminated if Optionee is transferred from the Company to one of its Affiliates, or vice versa, or from one of the Company’s Affiliates to another one of the Company’s Affiliates. The Board, or the Committee, if applicable, shall have discretion to determine whether Optionee’s Continuous Service with the Company or any of its Affiliates has terminated and the effective date on which such termination occurred (the “Termination Date”).

4.1    Death/Disability. If Optionee’s Continuous Service is terminated due to death or Disability, that portion of this Option that is exercisable (minus the number of Shares previously purchased upon exercise of this Option) on the Termination Date shall remain exercisable until the earlier of the date of the expiration of this Option or the first anniversary of the Termination Date and, to the extent not exercised during such period, shall thereupon terminate. Optionee’s executor, administrator, guardian or custodian, as the case may be, must present proof of his or her authority satisfactory to the Company prior to being allowed to exercise this Option.

4.2    Other Termination. If Optionee’s Continuous Service terminates for any reason other than death, Disability, or Cause, that portion of this Option that is exercisable (minus the number of Shares previously purchased upon exercise of this Option) on the Termination Date shall remain exercisable until the earlier of the date of the expiration of this Option or the end of the 30 day period commencing on the Termination Date and, to the extent not exercised during such period, shall thereupon terminate.

4.3    Cause. Notwithstanding anything herein to the contrary, if Optionee’s Continuous Service is terminated for Cause (or the Optionee’s Continuous Service terminates at a time when grounds for a termination for Cause exist), this Option (whether or not otherwise vested) shall terminate and cease to be exercisable in its entirety as of the Termination Date.

5.    Change of Control. The following shall apply in the event of a change of control. 

5.1    Dissolution or Liquidation. In the event of a dissolution or liquidation of the Company, then this Option shall terminate if not exercised immediately prior to, or simultaneous with, such event.

5.2    Asset Sale, Merger, Consolidation or Reverse Merger. In the event of (i) a sale of all or substantially all of the assets of the Company, (ii) a merger in which the Company is not the surviving corporation, or (iii) a reverse merger in which the Company is the surviving corporation but the shares of Common Stock of the Company outstanding immediately preceding the merger are converted by virtue of the merger into other property, whether in the form of securities, cash or otherwise, then any surviving corporation or acquiring corporation shall assume this Option, if outstanding under the Plan, or shall substitute a similar award (including an award to acquire the same consideration paid to the stockholders in the transaction described in this Section 5.2 for this Option, if outstanding under the Plan). In the event any surviving corporation or acquiring corporation refuses to assume this Option or to substitute similar awards for this Option, if outstanding under the Plan, then the vesting of this Option shall be accelerated in full and may be exercised with respect to up to 100% of the total number of Shares then subject to this Option minus the number of Shares previously purchased upon exercise of this Option, and this Option shall terminate if not exercised at or prior to such event, provided that if this Option is subject to performance-based vesting, this Option will vest based on the higher of (a) actual performance as of immediately prior to such event  or (b) target performance, prorated based on a shortened performance period as of immediately prior to such event.

5.3    Other Change of Control. In the event of the happening of any of the following events: (i) a change within a twelve-month period in the holders of more than 50% of the outstanding voting stock of the Company (other than by means provided for in Section 5.2 above and as provided for in Section 10.3 of the Plan); or (ii) any other event deemed to constitute a “Change of Control” (other than by means provided for in Sections 5.1 and 5.2 above and as provided for in Sections 10.2 and 10.3 of the Plan) by the Board, or the Committee, as applicable, then the vesting of this Option shall be accelerated in full and may be exercised with respect to up to 100% of the total number of Shares then subject to this Option minus the number of Shares previously purchased upon exercise of this Option, and this Option shall terminate if not exercised at or prior to such event.

6.    Manner of Exercise.

6.1    Exercise. To the extent exercisable under the provisions of this Option, this Option may be exercised by delivery to the Company of an executed written notice of exercise to the Company’s Chief Trading Compliance Office if the Optionee is in the position of Senior Director or higher (or otherwise so designated to do so by the Company) or by electronic notice to the Company’s broker if the Optionee is below the position of Senior Director (or not so designated by the Company), in each case, stating the number of full Shares with respect to which it is being exercised, and accompanied by payment of the exercise price for the number of Shares being purchased, together with payment of the amount, if any, required by the Company to satisfy its tax withholding obligations resulting from such exercise.

6.2    Payment of Exercise Price. To the extent permitted by applicable law, payment for the Shares may be made (i) in cash (or by check), (ii) by delivery (physically or by attestation) of shares of Common Stock of the Company having a Fair Market Value equal to the exercise price of this Option that have been owned by Optionee for such period of time, if any, necessary to avoid giving rise to an accounting charge (and which have been paid for within the meaning of Rule 144 promulgated under the Securities Act and, if such shares were purchased from the Company by use of a promissory note, such note has been fully paid with respect to such shares), or were obtained by Optionee in the open public market and are free and clear of all liens, security interests and third-party claims and accompanied by an assignment of such shares of Common Stock to the Company, (iii) at the discretion of the Board or the Committee, as applicable, by a “net exercise” method under which the Company reduces the number of shares issued upon exercise of this Option by the largest whole number of shares with a Fair Market Value as of the date of exercise that does not exceed the aggregate exercise price, (iv) pursuant to a program developed under Regulation T as promulgated by the Federal Reserve Board that results in either the receipt of cash (or check) by the Company or the receipt of irrevocable instructions to pay the aggregate exercise price to the Company from the sales proceeds, or (v) in any other manner as determined by the Board, or the Committee, as applicable.

6.3    Withholding Taxes.

6.3.1    Optionee hereby authorizes the Company to withhold from payroll and any other amounts payable to Optionee, and Optionee otherwise agrees to make adequate provision for (including by means of a cashless exercise to the extent permitted by the Company), any sums required to satisfy the federal, state, local, foreign, and any other tax withholding obligations of the Company or any of its Affiliate, if applicable, which arise in connection with this Option.

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6.3.2    Upon Optionee’s request, subject to compliance with any applicable conditions or restrictions of law and at the discretion of the Board or Committee, as applicable, the Company may (but shall be under no obligation to) withhold from Shares otherwise issuable to Optionee upon the exercise of this Option, a number of whole Shares having a Fair Market Value, determined by the Company as of the date of exercise, to satisfy the tax withholding obligations of the Company (which shall be at a rate not in excess of the maximum individual statutory tax rate) or any of its Affiliates, as applicable.

6.3.3    If this Option is an Incentive Stock Option, by exercising this Option, Optionee agrees that he or she will notify the Company in writing within fifteen (15) days after the date of any disposition of any of the Shares that occurs within two (2) years after the date of this Option grant or within one (1) year after Shares are transferred upon exercise of this Option, and will otherwise provide the Company with such other information as the Company shall reasonably request.

6.4    Issuance of Shares/Stockholder Rights. Provided that such notice and payment are in form and substance satisfactory to the Company and counsel for the Company, the Company has received payment for the Shares and the applicable tax withholding obligations with respect to the exercise has been made or provided for, the Company shall cause the Shares to be issued in the name of Optionee or Optionee’s legal representative. Neither Optionee nor any person entitled to exercise Optionee’s rights in the event of death will have any of the rights of a stockholder with respect to the Shares except to the extent that certificates for such Shares shall have been issued upon the exercise of this Option.

7.    Nontransferability of Option. This Option may not be transferred in any manner other than by will or by the law of descent and distribution and may be exercised during the lifetime of Optionee only by Optionee.

8.    Independent Tax Advice. Optionee agrees that Optionee has or will obtain the advice of independent tax counsel regarding the federal and state income tax consequences of the receipt and exercise of this Option and of the disposition of Shares acquired upon exercise hereof, including advice regarding the imposition of the alternative minimum tax on tax preferences generated by exercise of stock options and regarding any holding period requirements for preferential tax treatment. OPTIONEE ACKNOWLEDGES THAT HE OR SHE HAS NOT RELIED AND WILL NOT RELY UPON ANY ADVICE OR REPRESENTATIONS BY THE COMPANY OR BY ITS EMPLOYEES OR REPRESENTATIVES WITH RESPECT TO THE TAX TREATMENT OF THIS OPTION OR ANY SHARES ISSUED PURSUANT HERETO.

9.    Optionee Service. Nothing in this Agreement shall limit the right of the Company or any of its Affiliates to terminate the Optionee’s service as an officer, employee, director or consultant of the Company or otherwise impose upon the Company or any of its Affiliates any obligation to employ or accept the services of the Optionee.

10.    Plan and Plan Interpretations as Controlling. This Agreement is subject to all the provisions of the Plan, the provisions of which are hereby made a part of this Agreement, and is further subject to all interpretations, amendments, rules and regulations which may from time to time be promulgated and adopted pursuant to the Plan. In the event of any conflict between the provisions of this Agreement and those of the Plan, the provisions of the Plan will control. The Board, or the Committee, as applicable, will have 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 Board or the Committee, as applicable, will be final and binding upon Optionee or Optionee’s legal representatives, the Company, and all other interested persons.   

11.    Arbitration. Any dispute or disagreement between Optionee and the Company with respect to any portion of this Option or its validity, construction, meaning, performance or your rights hereunder shall be settled by arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association or its successor, as amended from time to time. However, prior to submission to arbitration, Optionee will attempt to resolve any disputes or disagreements with the Company over this Option amicably and informally, in good faith, for a period not to exceed two weeks. Thereafter, the dispute or disagreement will be submitted to arbitration. At any time prior to a decision from the arbitrator(s) being rendered, Optionee and the Company may resolve the dispute by settlement. Optionee and the Company shall equally share the costs charged by the American Arbitration Association or its successor, but Optionee and the Company shall otherwise be solely responsible for its own respective counsel fees and expenses. The decision of the arbitrator(s) shall be made in writing, setting forth the award, the reasons for the decision and award and shall be binding and conclusive on Optionee and the Company. Further, neither Optionee nor the Company shall appeal any such award. Judgment of a court of competent jurisdiction may be entered upon the award and may be enforced as such in accordance with the provisions of the award.

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12.    Entire Agreement/Amendment/Choice of Law. The Grant Notice, this Agreement and the Plan constitute the entire understanding between the Company and the Optionee with respect to the subject matter hereof. No amendment, supplement or waiver of this Agreement, in whole or in part, shall be binding upon the Company unless in writing and signed by the Chief Executive Officer, Chief Financial Officer, Chief Trading Compliance Officer or any other duly authorized officer of the Company with the approval of the Board, or the Committee, as applicable. This Agreement and the performances of the parties hereunder shall be construed in accordance with and governed by the laws of the State of Delaware.

13.    Section 409A. This Agreement and the Grant Notice shall be interpreted in accordance with the requirements of Section 409A of the Code. The Board of the Committee, as applicable, may, in its discretion, adopt such amendments to the Plan, this Agreement or the Grant Notice or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, as the Administrator determines are necessary or appropriate to comply with the requirements of Section 409A of the Code or an available exemption thereof; provided, however, that the Board and/or the Committee shall have no obligation to take any such action(s) or to indemnify any person from failing to do so.

14.    Receipt of Documents.  Optionee acknowledges receipt of, and understands and agrees to, the Grant Notice, this Agreement and the Plan. Optionee also acknowledges receipt of the Fourth Amended and Restated 2002 Equity Incentive Plan Prospectus. 

15.    Execution of Documents. Optionee hereby acknowledges and agrees that the manner selected by the Company by which Optionee indicates his or her consent to the Grant Notice is also deemed to be Optionee’s execution of this Agreement. Optionee agrees upon request to execute any further documents or instruments necessary or desirable in the sole determination of the Company to carry out the purposes or intent of this Option. Optionee acknowledges and agrees that he or she has reviewed this Option in its entirety, has had an opportunity to obtain the advice of counsel prior to executing and accepting this Option and fully understand all provisions of this Option.

16.    Defined Terms. Unless otherwise defined herein, capitalized terms used herein shall have the meanings ascribed to them in the Plan.

17.    Severability. If all or any part of the Grant Notice, this Agreement or the Plan is declared by any court or governmental authority to be unlawful or invalid, such unlawfulness or invalidity will not invalidate any portion of the Grant Notice, this Agreement or the Plan not declared to be unlawful or invalid. Any Section of this Agreement (or part of such a Section) so declared to be unlawful or invalid will, if possible, be construed in a manner which will give effect to the terms of such Section or part of a Section to the fullest extent possible while remaining lawful and valid.

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