Document:

EXHIBT 4.02

 

AMENDMENT NO. 2 TO CREDIT AGREEMENT

 

This AMENDMENT NO. 2 TO CREDIT AGREEMENT (this “Amendment”), dated as of September 28, 2012, among FLEXTRONICS INTERNATIONAL LTD., a Singapore corporation (the “Company” or “FIL”) acting, subject to Section 10.20 of the Credit Agreement, through its Bermuda branch, certain Subsidiaries of the Company party to the Credit Agreement pursuant to Section 2.14 thereof (together with the Company, the “Borrowers” and, each a “Borrower”), the Subsidiary Guarantors, Agricultural Bank of China Limited, Singapore Branch (“ABC”) and BANK OF AMERICA, N.A.,  as Administrative Agent (the “Administrative Agent”).

 

RECITALS

 

A.            The Borrowers, certain financial institutions, the Administrative Agent, and Bank of America, N.A. and Union Bank, N.A. as L/C Issuers, are party to the Credit Agreement dated as of October 19, 2011 (as previously amended, the “Credit Agreement”), pursuant to which the Administrative Agent and the Lenders have extended certain credit facilities to the Borrowers.

 

B.            The Company wishes to borrow $50,000,000 from ABC as an incremental Term A Loan pursuant to Section 2.16 of the Credit Agreement.  ABC is willing to extend such incremental Term A Loan subject to the terms and conditions of this Amendment and the Credit Agreement.

 

C.            This Amendment is being entered into by the parties hereto in accordance with Section 2.16 of the Credit Agreement.

 

NOW, THEREFORE, for valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto hereby agree as follows:

 

1.             Defined Terms.  Unless otherwise defined herein, capitalized terms used herein shall have the meanings, if any, assigned to such terms in the Credit Agreement.  As used herein, “Amendment Documents” means this Amendment, the Credit Agreement (as amended by this Amendment), and each certificate and other document executed and delivered by any Borrower pursuant to Section 5 hereof.

 

2.             Interpretation.  The rules of interpretation set forth in Sections 1.02 of the Credit Agreement shall be applicable to this Amendment and are incorporated herein by this reference.

 

3.             Amendments to Credit Agreement.  Subject to the terms and conditions hereof, and with effect from and after the Effective Date, the Credit Agreement shall be amended as follows:

 

(a)           Section 1.01 of the Credit Agreement is amended by amending clause (a) of the definition of “Applicable Percentage” in its entirety to read as follows:  “(a) in respect of the Term A Facility, with respect to any Term A Lender at any time, the percentage (carried out to the ninth decimal place) of the Term A Facility represented by the principal amount of such Term A Lender’s Term A Loans at such time, which immediately after the effective time of

 

 

Amendment No. 2 hereto dated as of September 28, 2012 shall be as set forth opposite the name of such Lender on Schedule 2.01(a) hereto.”

 

(b)           The amortization schedule set forth in Section 2.07(a) of the Credit Agreement for dates on and after September 30, 2012 is amended in its entirety to read as follows:

 

	
Date
    	
 
    	
Amount
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
September 30, 2012
    	
 
    	
$
    	
6,875,000
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
December 31, 2012
    	
 
    	
$
    	
6,875,000
    	
 
    
	
March 31, 2013
    	
 
    	
$
    	
6,875,000
    	
 
    
	
June 30, 2013
    	
 
    	
$
    	
6,875,000
    	
 
    
	
September 30, 2013
    	
 
    	
$
    	
6,875,000
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
December 31, 2013
    	
 
    	
$
    	
10,312,500
    	
 
    
	
March 31, 2014
    	
 
    	
$
    	
10,312,500
    	
 
    
	
June 30, 2014
    	
 
    	
$
    	
10,312,500
    	
 
    
	
September 30, 2014
    	
 
    	
$
    	
10,312,500
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
December 31, 2014
    	
 
    	
$
    	
10,312,500
    	
 
    
	
March 31, 2015
    	
 
    	
$
    	
10,312,500
    	
 
    
	
June 30, 2015
    	
 
    	
$
    	
10,312,500
    	
 
    
	
September 30, 2015
    	
 
    	
$
    	
10,312,500
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
December 31, 2015
    	
 
    	
$
    	
10,312,500
    	
 
    
	
March 31, 2016
    	
 
    	
$
    	
10,312,500
    	
 
    
	
June 30, 2016
    	
 
    	
$
    	
10,312,500
    	
 
    
	
September 30, 2016
    	
 
    	
$
    	
10,312,500
    	
 
    

 

provided, however, that the final principal repayment installment of the Term A Loans shall be repaid on the Maturity Date and in any event shall be in an amount equal to the aggregate principal amount of all Term A Loans outstanding on such date.

 

(c)           The Credit Agreement shall be further amended by adding, in appropriate numerical order, a new Schedule 2.01(A), in the form attached hereto as Schedule 2.01(A) hereto.

 

4.             Agreement and Acknowledgement.  Subject to the terms and conditions set forth herein, and in the Credit Agreement, on the Effective Date ABC shall make a single $50,000,000 term loan to the Company denominated in Dollars which shall be an incremental Term A Loan as contemplated by Section 2.16 of the Credit Agreement.  Such Loan shall be provided pursuant to the funding mechanics set forth in Section 2.02(b) of the Credit Agreement and shall be deemed part of a Term A Loan Borrowing of $531,250,000 being made or continued on the Effective Date as a combination of Eurocurrency Rate Loans and Base Rate Loans as selected by

 

2

 

the Company pursuant to Section 2.02(a) of the Credit Agreement.  By its execution hereof, as of the Effective Date ABC hereby joins in the Credit Agreement and assumes the duties, obligations and rights of a Term Lender holding a Term A Loan under the Credit Agreement and shall be entitled to all the rights and remedies of a Term Lender holding a Term A Loan.  The parties acknowledge and agree that, pursuant to Section 2.16 of the Credit Agreement, the ABC Loan shall be deemed a Term A Loan for all purposes of the Credit Agreement.

 

5.             Representations and Warranties.  Each Borrower hereby represents and warrants to the Administrative Agent and the Lenders as follows:

 

(a)           No Default exists, or will result from the $50,000,000 incremental Term A Loan being made by ABC on the Effective Date or the application of the proceeds thereof.

 

(b)           The execution, delivery and performance by each Loan Party of this Amendment have been duly authorized by all necessary corporate and other action and do not and will not require any registration with, consent or approval of, or notice to or action by, any Person (including any Governmental Authority) in order to be effective and enforceable.

 

(c)           This Amendment and the Credit Agreement (as amended hereby) constitute the legal, valid and binding obligations of each Borrower and are enforceable against such Borrower in accordance with their respective terms, without defense, counterclaim or offset.

 

(d)           The representations and warranties of (i) the Borrowers contained in Article V of the Credit Agreement and (ii) each Loan Party contained in each other Loan Document or in any document furnished at any time under or in connection herewith or therewith, are (A) in the case of representations and warranties that are qualified as to materiality, true and correct, and (B) in the case of representations and warranties that are not qualified as to materiality, true and correct in all material respects, in each case on and as of the Effective Date, except to the extent that such representations and warranties specifically refer to an earlier date, in which case they are true and correct or true and correct in all material respects, as the case may be, as of such earlier date; provided that the representations and warranties contained in Section 5.09 of the Credit Agreement shall be deemed to refer to the most recent Financial Statements furnished pursuant to subsections (a) and (b) of Section 6.01 of the Credit Agreement.

 

(e)           Each Borrower is entering into this Amendment on the basis of its own investigation and for its own reasons, without reliance upon the Administrative Agent, ABC, the Lenders or any other Person.

 

6.             Effective Date.

 

(a)           This Amendment will become effective when each of the following conditions precedent has been satisfied (the “Effective Date”):

 

(i)            The Administrative Agent shall have received from the Company, each other Loan Party and ABC a duly executed original (or, if elected by the Administrative Agent, an executed facsimile copy) counterpart to this Amendment.

 

3

 

(ii)           the conditions set forth in Sections 4.02(a) and 4.02(b) of the Credit Agreement shall be satisfied and the Administrative Agent shall have received a certificate to that effect dated the Effective Date and executed by a Responsible Officer of the Company.

 

(iii)          after giving effect to the borrowing of the $50,000,000 Term A Loan, referenced above, (A) the Company will be in compliance, on a pro forma basis, with the covenants set forth in Section 7.12 of the Credit Agreement and (B) no Default will have occurred and is continuing or would result therefrom, and the Administrative Agent shall have received a certificate to that effect dated the Effective Date and executed by a Responsible Officer of the Company.

 

(iv)          all reasonable fees and expenses owing to the Administrative Agent and ABC shall have been paid all reasonable costs and expenses of counsel to the Administrative Agent have been paid to the extent invoiced prior to the Effective Date.

 

(v)           the Administrative Agent shall have received written legal opinions from Curtis, Mallet-Prevost, Colt & Mosle LLP, U.S. counsel for FIL and its Subsidiaries, and Allen & Gledhill, Singapore counsel for FIL and its Subsidiaries, each addressed to the Administrative Agent for the benefit of the Administrative Agent and the Lenders, including ABC, covering such legal matters as the Administrative Agent may reasonably request and otherwise in form and substance satisfactory to the Administrative Agent.

 

(vi)          the Administrative Agent shall have received board resolutions and other closing certificates reasonably requested by the Administrative Agent and substantially consistent with those delivered on the Closing Date under Section 4.01 of the Credit Agreement.

 

(vii)         The Administrative Agent shall have received from the Company a certificate signed by the secretary or assistant secretary or director of the Company, dated the Effective Date, in form and substance satisfactory to the Administrative Agent, and certifying evidence of the authorization of the execution, delivery and performance by the Company of this Amendment.

 

(viii)        The Administrative Agent shall have received, in form and substance satisfactory to it, such additional certificates, documents and other information as the Administrative Agent shall request.

 

(b)           From and after the Effective Date, the Credit Agreement is amended as set forth herein.  Except as expressly amended pursuant hereto, the Credit Agreement shall remain unchanged and in full force and effect and is hereby ratified and confirmed in all respects.

 

(c)           The Administrative Agent will notify the Borrowers and the Lenders of the occurrence of the Effective Date.

 

7.             Reservation of Rights.  Each Loan Party acknowledges and agrees that neither the execution nor the delivery by the Administrative Agent and ABC of this Amendment, shall be

 

4

 

deemed to create a course of dealing or otherwise obligate the Administrative Agent or any Lender to execute similar amendments under the same or similar circumstances in the future.

 

8.             Miscellaneous.

 

(a)           This Amendment shall be binding upon and inure to the benefit of the parties hereto and thereto and their respective successors and assigns.  No third party beneficiaries are intended in connection with this Amendment.

 

(b)           THIS AMENDMENT IS SUBJECT TO THE PROVISIONS OF SECTIONS 10.14, 10.15 AND 10.16 OF THE CREDIT AGREEMENT RELATING TO GOVERNING LAW, VENUE, WAIVER OF RIGHT TO TRIAL BY JURY AND JUDICIAL REFERENCE, THE PROVISIONS OF WHICH ARE BY THIS REFERENCE INCORPORATED HEREIN IN FULL.

 

(c)           This Amendment may be executed in any number of counterparts, each of which shall be deemed an original, but all such counterparts together shall constitute but one and the same instrument.  Transmission of signatures of any party by facsimile shall for all purposes be deemed the delivery of original, executed counterparts thereof and the Administrative Agent is hereby authorized to make sufficient photocopies thereof to assemble complete counterparty documents.

 

(d)           This Amendment, together with the other Amendment Documents and the Credit Agreement, contain the entire and exclusive agreement of the parties hereto with reference to the matters discussed herein and therein.  This Amendment supersedes all prior drafts and communications with respect thereto.  This Amendment may not be amended except in accordance with the provisions of Section 10.01 of the Credit Agreement.

 

(e)           If any term or provision of this Amendment shall be deemed prohibited by or invalid under any applicable law, such provision shall be invalidated without affecting the remaining provisions of this Amendment or the Credit Agreement, respectively.

 

(f)            Each Borrower covenants to pay to or reimburse the Administrative Agent, upon demand, for all costs and expenses incurred in connection with the development, preparation, negotiation, execution and delivery of this Amendment.

 

(g)           This Amendment shall constitute a “Loan Document” under and as defined in the Credit Agreement.

 

(h)           Each Subsidiary Guarantor, by its execution hereof, consents to this Amendment and reaffirms its obligations under the Subsidiary Guaranty.

 

[Remainder of this page intentionally left blank]

 

5

 

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

 

	
 
    	
FLEXTRONICS   INTERNATIONAL LTD.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Manny Marimuthu
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Manny   Marimuthu
    
	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
FLEXTRONICS   INTERNATIONAL USA, INC., as Designated Borrower and Subsidiary Guarantor
    
	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Timothy Stewart
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Timothy   Stewart
    
	
 
    	
Title:
    	
Vice   President and Secretary
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
FLEXTRONICS   INTERNATIONAL ASIA-PACIFIC LTD., as Subsidiary Guarantor
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Manny Marimuthu
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Manny   Marimuthu
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
FLEXTRONICS   MARKETING (L) LTD., as Subsidiary Guarantor
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Manny Marimuthu
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Manny   Marimuthu
    
	
 
    	
Title:
    	
Director
    

 

[Signature Page to Amendment No. 2 to Credit Agreement]

 

 

	
 
    	
FLEXTRONICS   INTERNATIONAL EUROPE B.V., as Subsidiary Guarantor
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Bart van Loon
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Bart   van Loon
    
	
 
    	
Title:
    	
Managing   Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
FLEXTRONICS   INTERNATIONAL TERMELÖ ÉS SZOLGÁLTATÓ VÁMSZABADTERÜLETI KORLÁTOLT FELELÖSSEGÜ TÁRSASAG,   as Subsidiary Guarantor
    
	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Robert McCafferty
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Robert   McCafferty
    
	
 
    	
Title:
    	
Managing   Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Erzsebet Horvath
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Erzsebet   Horvath
    
	
 
    	
Title:
    	
Managing   Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
FLEXTRONICS   AMERICA, LLC, as Subsidiary Guarantor
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Chris Collier
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Chris   Collier
    
	
 
    	
Title:
    	
Manager
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
FLEXTRONICS   SALES & MARKETING
    
	
 
    	
(A-P)   LTD., as Subsidiary Guarantor
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Manny Marimuthu
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Manny   Marimuthu
    
	
 
    	
Title:
    	
Director
    

 

[Signature Page to Amendment No. 2 to Credit Agreement]

 

 

	
 
    	
FLEXTRONICS   INTERNATIONAL USA, INC., as Subsidiary Guarantor
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Timothy Stewart
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Timothy   Stewart
    
	
 
    	
Title:
    	
Vice   President and Secretary
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
FLEXTRONICS   SALES AND MARKETING NORTH ASIA (L) LTD., as Subsidiary Guarantor
    
	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Manny Marimuthu
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Manny   Marimuthu
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
FLEXTRONICS   SALES AND MARKETING CONSUMER DIGITAL LTD., as Subsidiary Guarantor
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Manny Marimuthu
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Manny   Marimuthu
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
FLEXTRONICS   LOGISTICS USA, INC., as Subsidiary Guarantor
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Timothy Stewart
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Timothy   Stewart
    
	
 
    	
Title:
    	
Vice   President and Secretary
    

 

[Signature Page to Amendment No. 2 to Credit Agreement]

 

 

	
 
    	
BANK OF   AMERICA, N.A., as Administrative Agent
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Joan Mok
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Joan   Mok
    
	
 
    	
Title:
    	
Vice   President
    

 

[Signature Page to Amendment No. 2 to Credit Agreement]

 

 

	
 
    	
AGRICULTURAL   BANK OF CHINA LIMITED, SINGAPORE BRANCH, as a Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Fan Gang
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Fan   Gang
    
	
 
    	
Title:
    	
General   Manager
    

 

[Signature Page to Amendment No. 2 to Credit Agreement]

 

 

SCHEDULE 2.01(A)

 

OUTSTANDING TERM A LOANS
 AND APPLICABLE PERCENTAGES

 

	
Lender
    	
 
    	
Outstanding Term A
   Loan
    	
 
    	
Term A Facility
   Applicable Percentage
    	
 
    
	
Bank of America, N.A.
    	
 
    	
$
    	
36,320,292.42
    	
 
    	
6.836760926
    	
%
    
	
Agricultural Bank of China Limited, Singapore Branch
    	
 
    	
$
    	
50,000,000
    	
 
    	
9.411764706
    	
%
    
	
Mizuho Corporate Bank Ltd.
    	
 
    	
$
    	
48,125,000
    	
 
    	
9.058823529
    	
%
    
	
Citibank, N.A.
    	
 
    	
$
    	
20,156,465.66
    	
 
    	
3.794158242
    	
%
    
	
BNP Paribas
    	
 
    	
$
    	
34,078,133.05
    	
 
    	
6.414707398
    	
%
    
	
HSBC Bank USA, National Association
    	
 
    	
$
    	
34,078,133.05
    	
 
    	
6.414707398
    	
%
    
	
JPMorgan Chase Bank, N.A.
    	
 
    	
$
    	
34,078,133.05
    	
 
    	
6.414707398
    	
%
    
	
The Bank of Nova Scotia
    	
 
    	
$
    	
34,078,133.05
    	
 
    	
6.414707398
    	
%
    
	
The Royal Bank of Scotland plc
    	
 
    	
$
    	
34,078,133.05
    	
 
    	
6.414707398
    	
%
    
	
Bank of China, New York Branch
    	
 
    	
$
    	
24,062,500
    	
 
    	
4.529411765
    	
%
    
	
Sumitomo Mitsui Banking Corporation
    	
 
    	
$
    	
24,062,500
    	
 
    	
4.529411765
    	
%
    
	
Australia and New Zealand Banking Group Limited
    	
 
    	
$
    	
18,046,875
    	
 
    	
3.397058824
    	
%
    
	
Deutsche Bank AG New York Branch
    	
 
    	
$
    	
18,046,875
    	
 
    	
3.397058824
    	
%
    
	
Union Bank, N.A.
    	
 
    	
$
    	
18,046,875
    	
 
    	
3.397058824
    	
%
    
	
U.S. Bank, National Association
    	
 
    	
$
    	
18,046,875
    	
 
    	
3.397058824
    	
%
    
	
Wells Fargo Bank, National Association
    	
 
    	
$
    	
18,046,875
    	
 
    	
3.397058824
    	
%
    
	
DBS Bank Ltd., Los Angeles Agency
    	
 
    	
$
    	
12,031,250
    	
 
    	
2.264705882
    	
%
    
	
KBC Bank NV
    	
 
    	
$
    	
12,031,250
    	
 
    	
2.264705882
    	
%
    
	
Skandinaviska Enskilda Banken AB (publ)
    	
 
    	
$
    	
12,031,250
    	
 
    	
2.264705882
    	
%
    
	
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
    	
 
    	
$
    	
12,031,250
    	
 
    	
2.264705882
    	
%
    
	
Fairway Loan Funding Company
    	
 
    	
$
    	
3,898,734.18
    	
 
    	
0.733879375
    	
%
    
	
Allied Irish Banks p.l.c.
    	
 
    	
$
    	
3,609,375
    	
 
    	
0.679411765
    	
%
    
	
Avenue CLO III Ltd.
    	
 
    	
$
    	
2,961,538.46
    	
 
    	
0.557466063
    	
%
    
	
Shasta CLO I Ltd.
    	
 
    	
$
    	
1,949,367.08
    	
 
    	
0.366939686
    	
%
    
	
Latitude CLO I Ltd.
    	
 
    	
$
    	
1,480,769.23
    	
 
    	
0.278733032
    	
%
    
	
Pacific Coast Bankers Bank
    	
 
    	
$
    	
1,000,000
    	
 
    	
0.188235294
    	
%
    
	
Mayport CLO Ltd.
    	
 
    	
$
    	
974,683.54
    	
 
    	
0.183469843
    	
%
    
	
Portola CLO Ltd.
    	
 
    	
$
    	
974,683.54
    	
 
    	
0.183469843
    	
%
    
	
Apidos CDO V
    	
 
    	
$
    	
731,012.66
    	
 
    	
0.137602383
    	
%
    
	
Apidos Cinco CDO
    	
 
    	
$
    	
731,012.66
    	
 
    	
0.137602383
    	
%
    
	
San Gabriel CLO I Ltd.
    	
 
    	
$
    	
731,012.66
    	
 
    	
0.137602383
    	
%
    
	
Sierra CLO II Ltd.
    	
 
    	
$
    	
731,012.66
    	
 
    	
0.137602383
    	
%
    
	
Total
    	
 
    	
$
    	
531,250,000
    	
 
    	
100.000000000
    	
%
    

 

Schedule 2.01

 

1Exhibit 10.1

 

SECOND AMENDMENT

 

TO

 

AMENDED AND RESTATED CREDIT AGREEMENT

 

dated as of July 18, 2012

 

among

 

CABOT OIL & GAS CORPORATION,
 as Borrower,

 

JPMORGAN CHASE BANK, N.A.,
 as Administrative Agent,

 

BANK OF AMERICA, N.A.,
 as Syndication Agent,

 

BANK OF MONTREAL,
 as Co- Documentation Agent,

 

BBVA COMPASS,
 as Co-Documentation Agent,

 

CANADIAN IMPERIAL BANK OF COMMERCE,
 NEW YORK AGENCY,
 as Co- Documentation Agent,

 

U.S. BANK NATIONAL ASSOCIATION,
 as Co-Documentation Agent,

 

WELLS FARGO BANK, N.A.,
 as Co- Documentation Agent,

 

and

 

The Lenders Party Thereto

 

 

J.P. Morgan Securities LLC
 Merrill Lynch Pierce, Fenner & Smith, Inc.

 

As Co-Lead Arrangers and Joint Bookrunners

 

 

SECOND AMENDMENT TO
 AMENDED AND RESTATED CREDIT AGREEMENT

 

THIS SECOND AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (this “Second Amendment”) dated as of July 18, 2012, among CABOT OIL & GAS CORPORATION, a Delaware limited liability company, (the “Borrower”); certain of the lenders party to the Credit Agreement referred to below (collectively, the “Majority Lenders”); and JPMORGAN CHASE BANK, N.A., as administrative agent for the Lenders (in such capacity, together with its successors in such capacity, the “Administrative Agent”).

 

R E C I T A L S

 

A.            The Borrower, the Administrative Agent and the Majority Lenders are parties to that certain Amended and Restated Credit Agreement dated as of September 22, 2010 (as amended by that certain First Amendment to Amended and Restated Credit Agreement dated as of May 4, 2012, the “Credit Agreement”), pursuant to which the Lenders have made certain credit available to and on behalf of the Borrower.

 

B.            The Borrower has requested and the Majority Lenders have agreed to amend certain provisions of the Credit Agreement as set forth herein.

 

C.            Now, therefore, to induce the Administrative Agent and the Lenders to enter into this Second Amendment and 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, as amended by this Second Amendment. Unless otherwise indicated, all section references in this Second Amendment refer to sections of the Credit Agreement.

 

Section 2.               Amendments to Credit Agreement.

 

2.1           Amendments to Section 1.02.

 

(a)           Section 1.02 is hereby amended by deleting the defined term “Agreement” in its entirety and replacing it with the following:

 

“‘Agreement’ means this Amended and Restated Credit Agreement, as amended by that certain First Amendment dated as of May 4, 2012 and that certain Second Amendment dated as of July 18, 2012, as the same may from time to time be amended, modified, supplemented or restated.”

 

(b)           Section 1.02 is hereby amended by deleting the phrase “June 30 or” in the second line of the defined term “Reserve Report”.

 

1

 

2.2           Amendment to Section 8.11(a).  Section 8.11(a) is hereby amended and restated in its entirety to read as follows:

 

“(a)         On or before March 15 of each year, commencing March 15, 2013, the Borrower shall furnish to the Administrative Agent a Reserve Report evaluating the Oil and Gas Properties of the Borrower and its Domestic Subsidiaries as of the immediately preceding December 31st located within the geographic boundaries of the United States of America (or the Outer Continental Shelf adjacent to the United States of America). The Reserve Report as of December 31st of each year shall be reviewed by one or more Approved Petroleum Engineers.”

 

Section 3.               Conditions Precedent.  This Second Amendment shall become effective on the date (such date, the “Second Amendment Effective Date”), when each of the following conditions is satisfied (or waived in accordance with Section 12.02):

 

3.1           The Administrative Agent shall have received from the Majority Lenders and the Borrower, counterparts (in such number as may be requested by the Administrative Agent) of this Second Amendment signed on behalf of such Person.

 

3.2           No Default shall have occurred and be continuing as of the date hereof, after giving effect to the terms of this Second Amendment.

 

3.3           The Administrative Agent shall have received such other documents as the Administrative Agent or its special counsel may reasonably require.

 

The Administrative Agent is hereby authorized and directed to declare this Second Amendment to be effective when it has received documents confirming or certifying, to the satisfaction of the Administrative Agent, compliance with the conditions set forth in this Section or the waiver of such conditions as permitted in Section 12.02.  Such declaration shall be final, conclusive and binding upon all parties to the Credit Agreement for all purposes.

 

Section 4.               Miscellaneous.

 

4.1           Confirmation. The provisions of the Credit Agreement, as amended by this Second Amendment, shall remain in full force and effect following the effectiveness of this Second Amendment.

 

4.2           Ratification and Affirmation; Representations and Warranties.  The Borrower hereby (a) ratifies and affirms its obligations under, and acknowledges its continued liability under, each Loan Document to which it is a party and agrees that each Loan Document to which it is a party remains in full force and effect as expressly amended hereby and (b) represents and warrants to the Lenders that as of the date hereof, after giving effect to the terms of this Second Amendment:

 

(i)            all of the representations and warranties contained in each Loan Document to which it is a party are true and correct, except to the extent any such representations and warranties are expressly limited to an earlier date, in which

 

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case, such representations and warranties shall continue to be true and correct as of such specified earlier date, and

 

(ii)           no event or events have occurred which individually or in the aggregate could reasonably be expected to have a Material Adverse Effect.

 

4.3           Counterparts. This Second Amendment may be executed by one or more of the parties hereto in any number of separate counterparts, and all of such counterparts taken together shall be deemed to constitute one and the same instrument.  Delivery of this Second Amendment by facsimile transmission shall be effective as delivery of a manually executed counterpart hereof.

 

4.4           NO ORAL AGREEMENT. THIS SECOND AMENDMENT, THE CREDIT AGREEMENT AND THE OTHER LOAN DOCUMENTS EXECUTED IN CONNECTION HEREWITH AND THEREWITH REPRESENT THE FINAL AGREEMENT BETWEEN 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 SECOND AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

 

4.6           Payment of Expenses. In accordance with Section 12.03 of the Credit Agreement, the Borrower agrees to pay or reimburse the Administrative Agent for all of its reasonable out-of-pocket costs and reasonable expenses incurred in connection with this Second Amendment, any other documents prepared in connection herewith and the transactions contemplated hereby, including, without limitation, the reasonable fees and disbursements of counsel to the Administrative Agent.

 

4.7           Severability. Any provision of this Second Amendment which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.

 

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

 

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IN WITNESS WHEREOF, the parties hereto have caused this Second Amendment to be duly executed as of the date first written above.

 

 

	
BORROWER:
    	
CABOT   OIL & GAS CORPORATION
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Scott C. Schroeder
    
	
 
    	
 
    	
Name:
    	
Scott   C. Schroeder
    
	
 
    	
 
    	
Title:
    	
Vice   President and
    
	
 
    	
 
    	
 
    	
Chief   Financial Officer
    

 

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ADMINISTRATIVE   AGENT:
    	
JPMORGAN   CHASE BANK, N.A.
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michael A. Kamuf
    
	
 
    	
 
    	
Name:   Michael A. Kamauf
    
	
 
    	
 
    	
Title:   Vice President
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
LENDERS:
    	
JPMORGAN   CHASE BANK, N.A.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michael A. Kamauf
    
	
 
    	
 
    	
Name:   Michael A. Kamauf
    
	
 
    	
 
    	
Title:   Vice President
    

 

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BANK   OF AMERICA, N.A.
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Jeffery H. Rathkamp
    
	
 
    	
 
    	
Name:   Jeffery H. Rathkamp
    
	
 
    	
 
    	
Title:   Managing Director
    

 

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BANK   OF MONTREAL
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   James V. Ducote
    
	
 
    	
 
    	
Name:   James V. Ducote
    
	
 
    	
 
    	
Title:   Director
    

 

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COMPASS   BANK
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Ian Payne
    
	
 
    	
 
    	
Name:   Ian Payne
    
	
 
    	
 
    	
Title:   Vice President
    

 

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CANADIAN   IMPERIAL BANK OF COMMERCE, NEW YORK AGENCY
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Eoin Roche
    
	
 
    	
 
    	
Name:   Eoin Roche
    
	
 
    	
 
    	
Title:   Authorized Signatory
    

 

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U.S.   BANK NATIONAL ASSOCIATION
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Justin M. Alexander
    
	
 
    	
 
    	
Name:   Justin M. Alexander
    
	
 
    	
 
    	
Title:   Vice President
    

 

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WELLS   FARGO BANK, N.A.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Sarah Thomas
    
	
 
    	
 
    	
Name:   Sarah Thomas
    
	
 
    	
 
    	
Title:   Portfolio Manager
    

 

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BRANCH   BANKING AND TRUST COMPANY
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Parul June
    
	
 
    	
 
    	
Name:   Parul June
    
	
 
    	
 
    	
Title:   Vice President
    

 

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KEYBANK   NATIONAL ASSOCIATION
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Craig Hanselman
    
	
 
    	
 
    	
Name:   Craig Hanselman
    
	
 
    	
 
    	
Title:   Vice President
    

 

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THE   BANK OF TOKYO-MITSUBISHI UFJ, LTD.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Signature
    
	
 
    	
 
    	
Name:
    
	
 
    	
 
    	
Title:
    

 

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COMERICA   BANK
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Justin Crawford
    
	
 
    	
 
    	
Name:   Justin Crawford
    
	
 
    	
 
    	
Title:   Vice President
    

 

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ING   CAPITAL LLC
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Charles Hall
    
	
 
    	
 
    	
Name:   Charles Hall
    
	
 
    	
 
    	
Title:   Managing Director
    

 

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THE   FROST NATIONAL BANK
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Andrew A. Merryman
    
	
 
    	
 
    	
Name:   Andrew A. Merryman
    
	
 
    	
 
    	
Title:   Senior Vice President
    

 

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