Document:

exv10w5

Exhibit 10.5

SECOND AMENDMENT TO

CONSOLIDATED, AMENDED AND RESTATED

LOAN AND SECURITY AGREEMENT

AND LOAN DOCUMENTS

          THIS SECOND AMENDMENT TO CONSOLIDATED, AMENDED AND RESTATED LOAN AND SECURITY AGREEMENT AND
LOAN DOCUMENTS, dated as of May 20, 2008 (the “Amendment”), by and between TEXTRON FINANCIAL
CORPORATION, a Delaware corporation (the “Lender”), and SILVERLEAF RESORTS, INC. (formerly known as
SILVERLEAF VACATION CLUB, INC.), a Texas corporation (the “Borrower”).

W I T N E S S E T H:

          WHEREAS, Lender and Borrower are parties to that certain Consolidated, Amended and Restated
Loan and Security Agreement, dated as of February 21, 2007, as amended by that certain Amendment to
Consolidated, Amended and Restated Loan and Security Agreement and Loan Documents, dated as of
October 31, 2007 (collectively, the “Agreement”);

          WHEREAS, Lender has agreed with Borrower to purchase approximately $40,000,000 of certain
asset backed secured notes to be issued by Silverleaf Finance VI, LLC, a bankruptcy-remote, special
purpose entity established by Borrower (“SFVI”); and

          WHEREAS, in connection with Lender’s purchase of such notes, Lender and Borrower have agreed
to make certain modifications to the Agreement as set forth herein.

          NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, the parties hereto hereby agree as follows:

     1. Defined Terms. Except as expressly set forth herein, terms used but not defined
herein shall have the meaning ascribed to such terms in the Agreement.

     2. Acquisition Loan Component. The term “Acquisition Loan Component” is hereby
amended in its entirety to read as follows:

          “Acquisition Loan Component. The Acquisition Loan Component shall be that portion of
the Loan that may be used by Borrower to fund the acquisition of the Real Property in an aggregate
amount not to exceed $10,000,000.00, subject to the terms and provisions of this Agreement.”

     3. Commitment. The term “Commitment” is hereby amended in its entirety to read as
follows:

          “Commitment. The term “Commitment” shall refer singly to the obligation of Lender to
make a Loan or Loans to Borrower and collectively to all Loans to be made by Lender to Borrower as
provided herein. The maximum aggregate Commitment of Lender hereunder shall be $100,000,000.00,
provided, however, that: (i) the maximum Commitment of Lender

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with respect to the Acquisition Loan Component shall be $10,000,000.00; (ii) the maximum
Commitment of the Lender with respect to the Inventory Loan Component shall be $50,000,000.00;
(iii) the Maximum aggregate Commitment of Lender with respect to the Acquisition Loan Component and
the Inventory Loan Component shall be $50,000,000.00; and (iv) the maximum aggregate Commitment of
Lender hereunder shall be reduced by the aggregate of: (x) the outstanding principal balance from
time to time of the Notes purchased by Lender pursuant to the Note Purchase Documents and (y) an
amount equal to ten and one half percent (10.5%) of the outstanding principal balance of the TFC
Conduit Loan from time to time. The available amount of the Commitment that Borrower may borrow
from time to time as an Advance hereunder shall be determined by Lender on the date of each request
by Borrower for an Advance, but in no event less frequently than the last day of each month during
the Term hereof, based upon the then current aggregate principal balance on each such determination
date of the Loan, the Notes and the TFC Conduit Loan.”

     4. Interest Rate. The term “Interest Rate” is hereby amended in its entirety to read
as follows:

          “Interest Rate. The Interest Rate on: (i) the Receivable Note shall bear interest at
a variable rate, adjusted as of each Prime Rate Determination Date, equal to the Prime Rate,
determined as of each Prime Rate Determination Date, but in no event shall the Interest Rate on the
Receivable Note be less than six percent (6.0%) per annum at any time; (ii) the Inventory Note
shall bear interest at a variable rate, adjusted as of each Prime Rate Determination Date, equal to
the Prime Rate, determined as of each Prime Rate Determination Date, plus one percent (1.0%) per
annum, but in no event shall the Interest Rate on the Inventory Note be less than six percent
(6.0%) per annum at any time; and (iii) the Acquisition Note shall bear interest at a variable
rate, adjusted as of such Prime Rate Determination Date, equal to the Prime Rate, determined as of
each Prime Rate Determination Date, plus three percent (3.0%) per annum, but in no event shall the
Interest Rate on the Acquisition Note be less than eight percent (8.0%) per annum at any time.”

     5. TFC Conduit Loan. The term “TFC Conduit Loan” is hereby amended in its entirety to
read as follows:

     “TFC Conduit Loan. Shall mean that certain loan facility provided by Textron
Financial Corporation (TFC) to SPV in accordance with the terms of the Silverleaf Finance II
Documents, as evidenced by: (i) the Subordinated Note dated as of December 19, 2003 in the
original principal amount of $66,380,808.54 made by SPV to TFC and (ii) the Subordinated
Note dated as of March 28, 2005 in the original principal amount of $26,333,737.55 made by
SPV to TFC, regardless of whether such notes are now or hereafter held by TFC.”

     6. Section 1 is hereby amended to add the following new definitions:

          “Notes. The term “Notes” shall mean the asset backed secured notes that are purchased
by Lender from SFVI pursuant to the Note Purchase Documents.”

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          “Note Purchase Documents. The term “Note Purchase Documents” shall mean the documents
and agreement, dated as of May 1, 2008, pursuant to which Lender has purchased or will purchase from
SFVI the Notes.”

     7. Section 2.2(c) of the Agreement is hereby amended in its entirety to read as follows:

          “(c) Acquisition Loan Component. Upon the terms and subject to the conditions set
forth in this Agreement, including, but not limited to, Section 2.7 hereof, the Lender shall, in
its sole and absolute discretion, make Advances with respect to the Acquisition Loan Component to
the Borrower, and the Borrower may, subject to Lender’s approval, borrow, repay and reborrow from
the Acquisition Loan Component during the Revolving Loan Term in an amount not to exceed at any
time the lesser of (i)[A] with respect to unimproved Real Property, 70% of the actual cost paid by
Borrower for said Real Property; or [B] with respect to the improved Real Property, 75% of the
actual cost paid by Borrower for such Real Property or (ii) $10,000,000.00; provided, however, that
the fair market value of any such property, as determined by Lender in its sole discretion based on
an acceptable appraisal, shall in each case equal or exceed such actual costs. Notwithstanding
anything in this Section 2.2(c) or Section 2.2(b) to the contrary, the aggregate amount of all
Advances outstanding from time to time with respect to the Acquisition Loan Component and the
Inventory Loan Component may not exceed, in the aggregate, $50,000,000.”

     8. Section 2.6 is hereby amended in its entirety to read as follows:

          “2.6 Loan Component Ratio. Borrower shall maintain, at all times during the term of
the Loan, a ratio between (a) the average outstanding principal balance of the Receivable Loan
Component for the trailing six (6) month period and (b) the aggregate average outstanding principal
balances of the Acquisition Loan Component and the Inventory Loan Component for the trailing six
(6) month period of 1 to 1 computed monthly. If the 1 to 1 ratio is not maintained for any such
six month period, and during that same period, the average outstanding principal balance of the
Receivable Loan Component is less than $50,000,000, Borrower shall pay Lender a fee equal to 1/4% of
the difference between the average outstanding principal balance of the Receivable Loan Component
for such six (6) month period and $50,000,000. Furthermore, if either: (i) the ratio between the
outstanding principal balance of the Receivable Loan Component and the aggregate outstanding
principal balances of the Acquisition Loan Component and the Inventory Loan Component shall be less
than .5 to 1 at anytime or (ii) the ratio between the outstanding principal balance of the
Receivable Loan Component and the outstanding principal balance of the Acquisition Loan Component
shall be less than 1 to 1 at anytime (each an “Event of Non Funding”), then Lender shall not be
obligated to loan nor shall Borrower be entitled to borrow any Advance of the Inventory Loan
Component or the Acquisition Loan Component.”

     9. Section 2.7 is hereby amended in its entirety to read as follows:

          “2.7 Maximum Obligation of Textron Financial Corporation Under the Loan. Borrower
acknowledges, agrees and confirms as follows: (i) notwithstanding anything to the contrary in
Section 2.2(b) and 2.2(c) hereof, the aggregate principal balance of the Acquisition Loan Component
and the Inventory Loan Component shall not exceed

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$50,000,000.00; and (ii) notwithstanding anything to the contrary herein, in any other Loan
Document or in any document evidencing or securing the Receivable Loan Component, the Inventory
Loan Component and/or the Acquisition Loan Component, Lender shall not be obligated to fund any
Advance hereunder, whether of the Receivable Loan Component, the Inventory Loan Component and/or
the Acquisition Loan Component, that, when taken together with all loans or advances made by Lender
to Borrower under this Agreement, the Receivable Loan Agreement, and/or the Restated Inventory Loan
Agreement and the outstanding principal balance of the Notes and an amount equal to ten and
one-half percent (10.5%) of the outstanding principal balance of the TFC Conduit Loan, would cause
the aggregate amount of such loans, advances and principal balances to exceed a maximum aggregate
amount of $100,000,000.00. The available amount of the Commitment that Borrower may borrow from
time to time as an Advance hereunder shall be determined by Lender on the date of such request by
Borrower for Advance, but in no event less frequently than the last day of each month during the
Term hereof, based upon the then current aggregate principal balance as of each such determination
date of the Loan, the Notes and the TFC Conduit Loan.”

     10. The following new Section 2.12 is added:

          “2.12 Minimum Loan Usage Fee. In addition to the interest payable pursuant to this
Agreement, during the Revolving Loan Term Borrower shall pay to Lender, on the first day of each
month, a usage fee equal to the product of: (a) $100,000,000.00 (less the aggregate average daily
outstanding principal balance, during the immediately preceding month, of the Acquisition Loan
Component, the Inventory Loan Component, the Receivable Loan Component, the Notes and an amount
equal to ten and one-half percent (10.5%) of the average daily outstanding principal balance,
during the immediately preceding month, of the TFC Conduit Loan) times (b) one quarter
percent (.25%).”

     11. Section 7.1w(ii) is hereby amended in its entirety to read as follows:

          “(ii) Marketing and Sales Expenses. As of the last day of each fiscal quarter,
Borrower will not permit the preceding twelve (12) month cumulative ratio of Marketing and Sales
Expenses to the Borrower’s net proceeds from the sale of Intervals as recorded on the Borrower’s
financial statements for the immediately preceding twelve (12) consecutive months to equal or
exceed a ratio of .60 to 1.”

     12. Section 7.1w(iv) is hereby amended in its entirety to read as follows:

          “(iv) Interest Coverage. The Interest Coverage Ratio for Borrower shall be at least
1.25:1 calculated quarterly on the last day of each calendar quarter on a trailing twelve (12)
month basis. The term Interest Coverage Ratio means with respect to any Person on a trailing
twelve (12) month basis, the ratio of (a) EBITDA for such period less capital expenditures as
determined in accordance with GAAP, for such period to (b) the interest expense minus all non-cash
items constituting interest expense for such period.”

     13. Further Documentation. Borrower agrees to execute and deliver to Lender: any and
all additional documentation as Lender may now or hereafter require in order to effectuate the
terms and conditions of this Amendment.

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     14. Effect of Amendment. Except as herein expressly amended, the Agreement shall
remain in full force and effect.

     15. Ratification and Confirmation. Except as herein expressly amended, Borrower
hereby ratifies, confirms, assumes and agrees to be bound by all of representations, warranties,
statements, covenants and agreements set forth in the Agreement and the other Loan Documents. The
Borrower reaffirms, restates and incorporates by reference all of the representations, warranties,
covenants and agreements made in the Loan Documents as if the same were made as of this date. The
Borrower agrees to pay the Loan and all related expenses, as and when due and payable in accordance
with the Loan Agreement and the other Loan Documents, and to observe and perform the Obligations,
and do all things necessary which are not prohibited by law to prevent the occurrence of any Event
of Default. In addition, to further secure, and to evidence and confirm the securing of, the
prompt and complete payment and performance by the Borrower of the Loan and all of the Obligations,
for value received, Borrower unconditionally and irrevocably assigns, pledges and grants to Lender,
and hereby confirms or reaffirm the prior granting to Lender of, a continuing first priority Lien,
mortgage and security interest in and to all of the Collateral, whether now existing or hereafter
acquired. Also, as provided in the Loan Documents, the Loan is and shall be further secured by the
Liens and security interests in favor of Lender in the properties and interests relating to
Additional Eligible Resorts, which now or hereafter serve as collateral security for any
Obligations. On the date of this Amendment and thereafter upon satisfaction of the requirements
for approval by Lender of Additional Eligible Resorts, Borrower shall record, or cause to be
recorded, such mortgages, deeds of trust, deeds to secure debt, assignments, pledges, security
agreements and UCC Financing Statements in the appropriate public records of the state in which
each Resort is located to further evidence and perfect the Lender’s Lien on the Collateral.
Borrower agrees to deliver or cause to be delivered by its Affiliates, such mortgages, deeds of
trust, deeds to secure debt, assignments, pledges, security agreements and UCC Financing Statements
as Lender may deem necessary to further evidence and perfect the Lender’s Lien on the Collateral.

     16. Estoppel. The Loan constitutes valuable consideration to the Borrower, which
consideration is uninterrupted and continuous since the dates on which the Loan was first made.
This Amendment and the other Loan Documents and the Loan modifications and transactions provided
for or contemplated hereunder or thereunder, shall in no way adversely affect the Lien or
perfection or priority of any Lien of Lender as of the date hereof in and to any Collateral, and
are not intended to constitute, and do not constitute or give rise to, any novation, cancellation
or extinguishment of any of Borrower’s Obligations existing as of the date hereof to Lender, or of
any interests owned or held by Lender (and not previously released) in and to any of the
Collateral; it being the intention of the parties that the transactions provided for or
contemplated herein shall be effectuated without any interruption in the continuity of the value
and consideration received by Borrower, and of the attachment, perfection, priority and
continuation in favor of Lender in and to all Collateral and proceeds.

     17. Loan Documents. This Amendment shall amend, without the necessity of any further
agreements, all Loan Documents as of the date hereof to reflect the decrease of the Acquisition
Loan Component from $20,000,000.00 to $10,000,000.00.

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[THE BALANCE OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

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          IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed on their
behalf as of the day and year first written above.

	 	 	 	 	 	 	 	 	 
	Witnessed By:	 	 	 	TEXTRON FINANCIAL CORPORATION	 	 
	 
	 	 	 	 	 	 	 	 
	/S/ JAY MARTIN
 

	 	 	 	By
	 	/S/ JOHN D’ANNIBALE
 

	 	 
	 	 	 	 	Name:	 	 
	/S/ SHANNON MUNSON

	 	 	 	Its:	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	SILVERLEAF RESORTS, INC.	 	 
	 
	 	 	 	 	 	 	 	 
	JERI BAKER
 

	 	 	 	By
	 	/S/ ROBERT M. SINNOTT
 

	 	 
	 	 	 	 	Name: Robert M. Sinnott	 	 
	MIKE NORRIS
 

	 	 	 	Its:
	 	 Chief Financial Officer 	 	 

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	STATE OF CONNECTICUT

	 	)	 	 
	 

	 	)ss:                     
	 	 
	COUNTY OF HARTFORD

	 	)	 	 

          At                      in said County and State on this 2ND day of June 2008, personally appeared
John D’Annibale duly authorized Vice President of Textron Financial Corporation, and he/she
acknowledged the foregoing instrument by him/her signed and sealed to be his/her free act and deed
and the free act and deed of Textron Financial Corporation.

	 	 	 	 	 	 	 
	 

	 	   Before me:
	 	/S/ MARIE G. IRIGARRY
 

Notary Public in and for said State

	 	 
	 

	 	 	 	My Commission Expires: July 31, 2012	 	 

	 	 	 	 	 
	STATE OF TEXAS

	 	)	 	 
	 

	 	)ss:                     
	 	 
	COUNTY OF DALLAS

	 	)	 	 

          At                      in said County and State on this  20th day of May
2008, personally appeared Robert M. Sinnott, duly
authorized officer of SILVERLEAF RESORTS, INC., and he/she acknowledged the foregoing instrument by
him/her signed and sealed to be his/her free act and deed and the free act and deed of Silverleaf
Resorts, Inc., a Texas corporation, on behalf of the corporation.

	 	 	 	 	 	 	 
	 

	 	   Before me:
	 	/S/ JOANN POSIVAL
 

Notary Public in and for said State

	 	 
	 

	 	 	 	My Commission Expires: July 22, 2008	 	 

8exv10w6

Exhibit 10.6

SECOND AMENDMENT TO LOAN

AND SECURITY AGREEMENT-RECEIVABLES

     This Second Amendment to Loan and Security Agreement – Receivables (this “Second Amendment”)
is made and entered into this 4th day of June, 2008 by and among SILVERLEAF RESORTS, INC., a Texas
corporation (“Borrower”); the parties, including WELLS FARGO FOOTHILL, INC., a California
corporation, who have executed the Original Loan Agreement (as hereinafter defined) or a joinder
agreement thereto in their respective capacities as lenders (collectively the “Lenders” and
individually a “Lender”); and WELLS FARGO FOOTHILL, INC., a California corporation, in its capacity
as facility agent and as collateral agent (“Agent”).

W
I T N E S S E
T H

     WHEREAS, Borrower, Lenders and Agent have heretofore entered into that certain Loan and
Security Agreement – Receivables dated as of December 16, 2005 (the “Original Loan Agreement”)
pursuant to which Lenders agreed to make a revolving credit loan secured by, among other things,
Pledged Notes Receivables (as defined in the Original Loan Agreement), which Original Loan
Agreement has been heretofore amended pursuant to (a) that certain First Amendment to Loan and
Security Agreement – Receivables dated as of October 6, 2006 and (b) that certain letter
modification agreement dated March 1, 2007 from Borrower to Wells Fargo Foothill, Inc. (the
Original Loan Agreement, as amended by said First Amendment and letter is hereinafter called the
“Loan Agreement” and the loan made pursuant to the Loan Agreement is hereinafter called the
“Loan”); and

     WHEREAS, Borrower, Lenders and Agent have heretofore entered into a Loan and Security
Agreement – Inventory dated as of December 16, 2005 (the “Original Inventory LSA”) pursuant to
which Lenders agreed to make a revolving credit loan secured by, among other things, certain
Intervals (as defined in the Original Inventory LSA), which Original Inventory LSA was amended by
that certain First Amendment to Loan and Security Agreement Inventory dated as of October 6, 2006
(the Original Inventory LSA, as amended by said First Amendment is hereinafter called the
“Inventory LSA” and the loan made pursuant to the Inventory LSA is hereinafter called the
“Additional Credit Facility”); and

     WHEREAS, although each of the Loan Agreement and the Inventory LSA contemplate that there
could be a number of parties acting as Lender thereunder, Wells Fargo Foothill, Inc. (“WFF”) is the
sole party acting as lender under each such agreement; and

     WHEREAS, WFF is considering purchasing from Silverleaf Finance VI, LLC, a Delaware limited
liability company (“SL VI”) and an affiliate of Borrower, a portion of the timeshare loan-backed
notes (the “TLB Notes”) being issued by SL VI in connection with a securitization that SL VI is
planning to undertake (the “Securitization”); and

     WHEREAS, in order to induce WFF to purchase the TLB Notes, WFF desires to limit WFF’s
aggregate exposure under the TLB Notes, the Loan and the Additional Credit Facility and

 

Borrower is willing to amend the Loan Agreement to accomplish that in the manner hereinafter
provided.

     NOW THEREFORE, in consideration of the mutual covenants and agreements contained in the Loan
Agreement and in this Second Amendment and for other good and valuable consideration, the receipt
and adequacy of which are hereby acknowledged, the parties to this Second Amendment, intending to
be legally bound, agree as follows:

     1. Integration of Second Amendment and Loan Agreement. This Second Amendment and the
Loan Agreement shall, for all purposes, be deemed to be one instrument. In the event of any
conflict between the terms and provisions of this Second Amendment and the terms and provisions of
the Loan Agreement, the terms and provisions of this Second Amendment shall, in all instances,
control and prevail. Except as expressly defined herein, all words and phrases which are defined
in the Loan Agreement shall have the same meaning in this Second Amendment as are ascribed to said
words and phrases in the Loan Agreement.

     2. Section 1 Definition of Terms – Commitment. The last sentence of the defined term
“Commitment” is hereby deleted and is hereby replaced with the following:

“From and after the date of this Second Amendment, the maximum aggregate outstanding
Commitment at any time during the Term of the Loan Agreement, as amended hereby,
shall be the lesser of (a) $35,000,000.00 and (b) the amount by which (i)
$75,000,000.00 exceeds (ii) the sum of the aggregate amount outstanding under the
TLB Notes and the Additional Credit Facility. The amount of the Commitment may from
time to time be increased or decreased by Agent and Lenders upon written agreement
setting forth the terms and conditions of any increase or decrease by and among
Agent, Lenders and Borrower.”

     3. Section 2.1(a).

     (a) The first sentence of the first grammatical paragraph of Section 2.1(a) is hereby
deleted and is hereby replaced with the following:

“Upon the terms and subject to the express conditions set forth in Section 2.1(c)
hereof and the other provisions of the Loan Agreement, as amended hereby, including,
but not limited to, Section 2.7 hereof, each Lender agrees severally, at any time
and from time to time during the Revolving Loan Period, to make Advances to Borrower
and Borrower may borrow, repay and re-borrow during the Revolving Loan Term, in an
aggregate amount not to exceed at any time each Lender’s Pro Rata Percentage of the
lesser of: (i) the Borrowing Base and (ii) the Commitment.”

     (b) The first sentence of the second grammatical paragraph of Section 2.1(a) is hereby
deleted and is hereby replaced with the following:

“Borrower acknowledges, agrees and confirms that the obligations of all Lenders to
make Loans to Borrower under the Loan Agreement, as amended hereby are limited to
the lesser of (i) the Borrowing Base and (ii) the Commitment.”

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     4. Section 2.1(c). Section 2.1(c) is hereby deleted and is hereby replaced with the
following:

“Notwithstanding anything to the contrary contained herein, no Lender shall have an
obligation to make an Advance or its Pro Rata Percentage thereof hereunder to the
extent that the aggregate of Advances outstanding would cause the Loan to exceed the
lesser of (i) the Borrowing Base and (ii) the Commitment.”

     5. Schedule 1.0. The “Lender’s Committed Amount” as set forth on Schedule 1.0
attached to the Loan Agreement is hereby deleted and is hereby replaced with the following:

“The lesser of (a) $35,000,000.00 and (b) the amount by which (i) $75,000,000.00
exceeds (ii) the aggregate amount outstanding under the Additional Credit Facility
and the TLB Notes.”

     6. Conditions to Effectiveness. The effectiveness of this Second Amendment and the
agreements of Lender set forth herein, are subject to the satisfaction of the following conditions
precedent, all in form, scope and substance satisfactory to Lender in its sole discretion (the date
on which such conditions shall have been satisfied being referred to herein as the “Second
Amendment Effective Date”):

     (a) The Securitization shall have taken place and WFF shall have acquired the TLB
Notes; and

     (b) Lender shall have received each of the following, and, where applicable, duly
executed by each party thereto, other than Lender:

               (i) This Second Amendment and the Second Amendment to Loan and Security Agreement-Inventory;
and

               (ii) a certificate from the principal financial officer of Borrower attesting to no change to
the Articles of Incorporation or By Laws of Borrower since December 16, 2005 and/or providing an
updated copy of any such changes; and

               (iii) A resolution from Borrower authorizing the changes to the financing relationship with
Lender as contained in this Second Amendment; and

               (iv) a certificate from the principal financial officer of Borrower attesting to no changes to
the TFC Documents or the TFC Conduit Loan since December 16, 2005 and no changes to the CSF
Documents or the UBS Documents since October 6, 2006 or, to the extent there have been changes,
attaching copies of said changes, together with revised versions of Schedules 1.1(b), 1.1(f) and
1.1(h), as applicable; and

               (v) All other documents Lender may request with respect to any matter relevant to this Second
Amendment or the transactions contemplated hereby.

     (c) The representations and warranties contained herein and in the Loan Agreement and
the other documents executed in connection with the Loan Agreement

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(herein referred to as “Loan Documents”), as each is amended hereby, shall be
true and correct as of the date hereof, as if made on the date hereof, except for such
representations and warranties as are by their express terms limited to a specific date.

     (d) No Default or Event of Default shall have occurred and be continuing.

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

     (f) Borrower shall have paid Lender all fees, costs and expenses incurred by Lender in
preparation and execution of this Second Amendment and in connection with all matters
referred to herein.

     7. Ratifications. The terms and provisions set forth in this Second Amendment shall
modify and supersede all inconsistent terms and provisions set forth in the Loan Agreement and the
other Loan Documents, and, except as expressly modified and superseded by this Second Amendment the
terms and provisions of the Loan Agreement and the other Loan Documents are ratified and confirmed
and shall continue in full force and effect. Borrower and Lender agree that the Loan Agreement and
the other Loan Documents, as amended hereby, shall continue to be legal, valid, binding and
enforceable in accordance with their respective terms. This Second Amendment is not intended to be
or to create, nor shall it be construed as or constitute, a novation or an accord and satisfaction
but shall constitute an amendment of the Loan Agreement.

     8. Representations and Warranties. Borrower hereby represents and warrants to Lender
that (a) the execution, delivery and performance of this Second Amendment and any and all other
Loan Documents executed and/or delivered in connection herewith have been authorized by all
requisite corporate action on the part of Borrower and will not violate the Articles of
Incorporation or Bylaws of Borrower; (b) Borrower’s Board of Directors has authorized the
execution, delivery and performance of this Second Amendment and any and all other Loan Documents
executed and/or delivered in connection herewith; (c) the representations and warranties contained
in the Loan Agreement, as amended hereby, and any other Loan Document are true and correct on and
as of the date hereof and on and as of the date of execution hereof as though made on and as of
each such date; (d) no Default or Event of Default under the Loan Agreement, as amended hereby, has
occurred and is continuing or exists which with the lapse or passage of time would be or become a
Default or Event of Default; (e) Borrower is in full compliance with all covenants and agreements
contained in the Loan Agreement and the other Loan Documents, as amended hereby, (f) Borrower has
not amended its Articles of Incorporation or Bylaws since December 16, 2005; (g) the execution,
delivery and performance of this Second Amendment and the Loan Documents executed in connection
herewith by Borrower are within its powers, have been duly authorized, and do not contravene (i)
its articles of incorporation or other organization documents, or (ii) any applicable law; and (h)
no consent, license, permit, approval or authorization of, or registration, filing or declaration
with, any governmental authority or other Person, is required in connection with the execution,
delivery, performance, validity or enforceability of this Second Amendment or the Loan Documents
executed in connection herewith, as applicable, by or against Borrower.

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     9. Survival of Representations and Warranties. All representations and warranties
made herein and in the Loan Agreement or any other Loan Document, including, without limitation,
any document furnished in connection with this Second Amendment, shall survive the execution and
delivery of this Second Amendment and the other Loan Documents, and no investigation by Lender or
any closing shall affect the representations and warranties or the right of Lender to rely upon
them.

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

     11. Severability. If any term or provision of this Second Amendment is adjudicated to
be invalid under applicable laws or regulations, such provision shall be inapplicable to the extent
of such invalidity without affecting the validity or enforceability of the remainder of this Second
Amendment which shall be given effect so far as possible.

     12. Successors and Assigns. This Second Amendment is binding upon and shall inure to
the benefit of Lender, all future holders of any Note and all assignees and transferees, and each
of their respective successors and permitted assigns. Borrower may not assign or transfer any of
its rights or obligations hereunder or under any of the other Loan Documents without the prior
written consent of Lender.

     13. Counterparts. This Second Amendment may be executed in one or more counterparts,
all of which taken together shall constitute but one and the same instrument. This Second
Amendment may be executed by facsimile transmission, which facsimile signatures shall be considered
original executed counterparts for purposes of this Section 13, and each party to this Second
Amendment agrees that it will be bound by its own facsimile signature and that it accepts the
facsimile signature of each other part to this Second Amendment.

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

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

     16. Applicable Law. THIS SECOND AMENDMENT AND ALL OTHER LOAN DOCUMENTS EXECUTED
PURSUANT HERETO SHALL BE DEEMED TO HAVE BEEN MADE AND TO BE PERFORMABLE IN AND SHALL BE GOVERNED BY
AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH THE CHOICE OF LAW PROVISIONS SET FORTH IN THE LOAN
AGREEMENT AND SHALL BE SUBJECT TO NOTICE PROVISIONS OF THE LOAN AGREEMENT.

5

 

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

     18. Release by Borrower. By execution of this Second Amendment, Borrower acknowledges
and confirms that Borrower does not have any offsets, defenses or claims against Lender, or any of
its present or former subsidiaries, affiliates, officers, directors, shareholders, employees,
agents, representatives, attorneys, predecessors, successors or assigns whether asserted or
unasserted. To the extent that Borrower may have such offsets, defenses or claims, Borrower and
each of its successors, assigns, parents, subsidiaries, affiliates, predecessors, employees,
agents, heirs, executors, as applicable, jointly and severally, knowingly, voluntarily and
intentionally waive, release and forever discharge Lender, its subsidiaries, affiliates, officers,
directors, shareholders, employees, agents, attorneys, predecessors, successors and assigns, both
present and former (collectively the “Lender Affiliates”) of and from any and all actual or
potential claims, demands, damages, actions, requests for sanctions and causes of action, torts,
obligations, suits, debts, controversies, damages, judgments, executions, claims and demands
whatsoever, all other liabilities whether known or unknown, matured or unmatured, contingent or
absolute, of any kind or description whatsoever, either in law or in equity or otherwise, asserted
or unasserted against Lender and/or Lender Affiliates, Lender as Agent or Lender in any other
capacity, which they ever had, now have, claim to have or may later have or which any of any
Borrower’s successors, assigns, parents, subsidiaries, affiliates, predecessors, employees, agents,
heirs, and/or executors, as applicable, both present and former, ever had, now has, claim to have
or may later have, upon or by reason of any manner, cause, causes or thing whatsoever, including,
without limitation, any presently existing claim or defense whether or not presently suspected,
contemplated or anticipated, and Borrower hereby agrees that Borrower is collaterally estopped from
asserting any claims against Lender or any of the Lender Affiliates relating to the foregoing.

6

 

     IN WITNESS WHEREOF, this Second Amendment to Loan and Security Agreement – Receivables has
been executed and is effective as of the date first above written.

	 	 	 	 	 
	 	BORROWER:

SILVERLEAF RESORTS, INC., a Texas corporation

 	 
	 	By:  	/S/ ROBERT M. SINNOTT
 	 
	 	 	Robert M. Sinnott 	 
	 	 	Chief Financial Officer 	 
	 

	 	 	 
	STATE OF TEXAS

	 	)
	 

	 	) ss.
	COUNTY OF DALLAS

	 	)

     The foregoing instrument was acknowledged before me this 4th day of June, 2008 by Robert M.
Sinnott, Chief Financial Officer of Silverleaf Resorts, Inc., a Texas corporation, on behalf of the
Corporation.

	 	 	 	 	 
	 	 	 
	 	        /S/ JOANN POSIVAL
 	 
	 	Notary Public 	 
	 	My Commission Expires: July 22, 2008 	 

	 	 	 	 	 
	 	LENDER:

WELLS FARGO FOOTHILL, INC., a California corporation

 	 
	 	By:  	/S/ LAWRENCE J. CANNARIATO
 	 
	 	Name:  	Lawrence J. Cannariato 	 
	 	Title:  	Vice President 	 
	 

	 	 	 
	STATE OF TEXAS

	 	)
	 

	 	)
	COUNTY OF DALLAS

	 	)

     The foregoing instrument was acknowledged before me this 6th day of June 2008 by Lawrence J.
Cannariato, Vice President of WELLS FARGO FOOTHILL, INC., a California corporation, on behalf of
the corporation.

	 	 	 	 	 
	 	 	 
	 	      /S/ DEANIE B. RENOUF
 	 
	 	Notary Public: 	 
	 	My Commission Expires: May 23, 2010	 
	 

7

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