Document:

EX-10.86

Exhibit 10.86

July 03, 2008

Rich Novak

Danville, CA

RE: Employment Offer

Dear Rich,

On behalf of Borland Software Corporation (“Borland”), I am pleased to extend an offer of
employment to you for the position of Senior Vice President of Worldwide Field Operations reporting
to Tod Nielsen. This letter sets out the terms of your employment with Borland, which will start
on July 21, 2008. This offer and your Start Date are contingent upon successful completion of
references, employment verification and a background check.

In consideration for your service to Borland, you will be paid an annual base salary of $300,000,
less applicable taxes and other withholdings in accordance with Borland’s standard payroll
practices. You will be eligible for the Incentive Compensation Program (ICP) specific to your
position. Your ICP target is 100% of your annual base salary, based on the attainment of corporate
and individual objectives. Details of this plan will be discussed with you after your Start Date.
In addition, you will be eligible to participate in various Borland fringe benefit plans,
including: Group Health Insurance, Flexible Spending Accounts, 401(k) Savings Plan, Employee Stock
Purchase Plan, and Tuition Reimbursement. Borland reserves the right to modify employee benefit
plans and policies, as it deems necessary. These benefits will be explained to you during your
employee orientation.

Subject to the approval of the Board of Directors of Borland and Compensation Committee of the
Board of Directors, you will be granted an option to purchase 200,000 shares of Borland common
stock under Borland’s Stock Plans at an exercise price equal to the fair market value of that stock
on your option grant date. This option will vest over a period of four years, with 1/4 of the number
of shares vesting one year following your Start Date and 1/48 of the shares vesting monthly
thereafter, until all shares are vested; provided however all shares will be subject to
acceleration in the event of a change of control of Borland and you are terminated without cause in
connection therewith.

The option will be subject to the terms and conditions of the Borland Stock Option Plan and related
standard form of stock option agreement and stock acceleration addendum, which you will be required
to sign as a condition of receiving the option.

You shall be eligible for severance benefits in accordance with the attached Addendum to Employment
Offer Letter for Severance Benefits, which you will be required to sign as a condition of receiving
the benefits.

Your employment with Borland is “at will”; it is for no specified term, and may be terminated
by you or Borland at any time, with or without cause or advance notice. Any contrary
representations that may have been made to you are superseded by this offer. This is the full and
complete agreement between you and Borland on this term. Although your job duties, title,
compensation and benefits, as well as Borland’s personnel policies and procedures, may change from
time to time, the “at will” nature of your employment may only be changed in an express written
agreement signed by you and Borland’s Senior Vice President of Human Resources.

By accepting employment with Borland, you represent that you will not be acting in breach of any
agreement with any of your previous employers. Borland is very impressed with the skills and
experience that you will bring to us and we hope that you will consider this offer carefully.
Should you accept this offer, I would like to remind you that it is Borland’s policy to avoid
situations where information or materials might come into our hands that are considered proprietary
by individuals or companies other than Borland. We are interested in employing you because of your
skills and abilities, not because of any trade secrets you have learned elsewhere. It is important
that you take care not to bring, even inadvertently, any books, drawings, notes, materials, etc.,
except your personal effects as you leave your current employer. Thus, you represent and warrant
that you are not acting in breach of any non-competition, employment or other agreements with your
current employer or any of your previous employers.

You understand that Borland may provide you with one or more types of equipment to help you perform
your duties for Borland, including, but not limited to, computers, cellular telephones and wireless
messaging devices. You further understand that it is your obligation to take proper care of all
such equipment during your employment, and to return such equipment to Borland in good working
order immediately upon the termination of your employment with Borland for any reason. If you fail
to return any such equipment to Borland upon the termination of your employment, you hereby
authorize Borland to deduct the cost of any unreturned equipment from your final paycheck.

Like all Borland employees, you will be required, as a condition to your employment with Borland,
to sign Borland’s standard Employee Confidentiality and Assignment of Inventions Agreement, a copy
of which is included with this letter.

For purposes of federal immigration law, you will be required to provide to the Company
documentary evidence of your identity and eligibility for employment within the United States.
Such documentation must be provided to us within three (3) business days of your date of hire. For
your convenience, we request that you provide original evidence of your identity and eligibility
during orientation on your first day of employment.

To ensure the timely and economical resolution of disputes that arise in connection with your
employment with Borland, you and Borland agree that any and all disputes, claims, or causes of
action (collectively, “Claims”) arising from or relating to the enforcement, breach, performance or
interpretation of this Agreement, your employment, or the termination of your employment
(including, but not limited to, any Claims for compensation, benefits, stock or stock options,
fraud or age, sex, race, disability or other discrimination or harassment), shall be resolved to
the fullest extent permitted by law by final, binding and confidential arbitration, by a single
arbitrator, in Santa Clara County, California, conducted by Judicial Arbitration and Mediation
Services, Inc. (“JAMS”) under the applicable JAMS employment rules, or other arbitrator or
arbitration rules to which you and Borland mutually agree. By agreeing to this arbitration
procedure, both you and Borland waive the right to resolve any such dispute through a trial by jury
or judge or administrative proceeding. The arbitrator shall: (a) have the authority to compel
adequate discovery for the resolution of the dispute and to award such relief as would otherwise be
permitted by law; and (b) issue a written arbitration decision, to include the arbitrator’s
essential findings and conclusions and a statement of the award. The arbitrator shall be
authorized to award any or all remedies that you or Borland would be entitled to seek in a court of
law. Borland shall pay all arbitrator and arbitration administrative fees in excess of the amount
of court fees that would be required if the dispute were decided in a court of law. Nothing in
this Agreement is intended to prevent either you or Borland from obtaining injunctive relief in
court to prevent irreparable harm pending the conclusion of any such arbitration.

This agreement and the other agreements referred to above constitute the entire agreement between
you and Borland regarding the terms and conditions of your employment, and they supersede all prior
negotiations, representations or agreements, whether oral or written, between you and Borland.
This agreement may only be modified by a document signed by you and the Senior Vice President of
Corporate Services of Borland.

We look forward to working with you at Borland. Please sign and date this letter on the spaces
provided below to acknowledge your acceptance of the terms of this offer. This offer, if not
accepted, will expire at the close of business on July 11, 2007. If you have any questions, please
call Juliet Peniston, Director of WW Staffing at 512-340-7084.

Sincerely,

Borland Software Corporation

	 	 	 
	By:

	 	/s/ Jonathan Schoonmaker
	
 
	 	 
	
 
	 	Jonathan Schoonmaker

	 	 	Senior Vice President, Corporate Services

I have read the above employment offer and accept employment with Borland on the terms and

conditions set forth in this agreement.

Date: July 10, 2008 Sign: /s/ Rich Novak

Rich Novak

My anticipated Start Date is July 21, 2008.

Please send the original signed offer letter and the new-hire paperwork to Borland’s Human
Resources Department using the envelope provided. Please fax a copy of your signed acceptance
offer letter to 512-340-1361.

Enclosures

1

Addendum To Employment Offer Letter

For Severance Benefits

The provisions of this Employment Offer Letter Addendum for Severance Benefits (the
“Addendum”) are incorporated into, and are made a part of, that employment offer letter
(the “Offer Letter”) by and between you, Rich Novak, and Borland Software Corporation
(“Borland”). Capitalized terms used in this Addendum are either defined herein or in Appendix A.

SEVERANCE BENEFITS.

Termination of Employment Outside of the Change in Control Period. If your employment
is terminated as a result of an Involuntary Termination other than during the Change in Control
Period and you sign a release of claims (in a form satisfactory to Borland, an example of which is
attached hereto as Appendix B), then you shall be entitled to payment of fifty percent (50%) of
your annual Base Salary, less applicable withholding. Such amount shall be payable in a lump sum
no later than five (5) days following expiration of any revocation period required in connection
with the release of claims; provided, however, if this payment is subject to Section 409A and you
are a “specified employee” (as defined in Section 409A), this payment shall be made within five (5)
days after the six (6) month anniversary of the Termination Date (or such sooner date that is
permitted under Section 409A).

Termination of Employment During the Change in Control Period. If your employment is
terminated as a result of an Involuntary Termination during the Change in Control Period and you
sign a release of claims (substantially in the form attached hereto as Appendix B), then you shall
be entitled to payment of one hundred percent (100%) of your annual Base Salary, less applicable
withholding. Such amount shall be payable in a lump sum no later than five (5) days following
expiration of any revocation period required in connection with the release of claims; provided,
however, if this payment is subject to Section 409A and you are a “specified employee” (as defined
in Section 409A), this payment shall be made within five (5) days after the six (6) month
anniversary of the Termination Date (or such sooner date that is permitted under Section 409A).

Continuing Medical Coverage. If your employment is terminated as a result of an
Involuntary Termination, whether or not a Change in Control Period, and you sign a release of
claims (in a form satisfactory to Borland, an example of which is attached hereto as Appendix B),
then you shall be entitled to payment for your premiums for health (i.e., medical, vision and
dental) continuation coverage under COBRA; provided, however, that (i) you are eligible for COBRA
on the Termination Date and (ii) you elect continuation coverage pursuant to COBRA, within the
required time period. Borland shall continue to provide you with health coverage pursuant to this
paragraph until the earliest of (i) the date you are no longer eligible to receive continuation
coverage pursuant to COBRA, (ii) twelve (12) months from the Termination Date or (iii) the date on
which you obtain comparable health coverage. You agree to notify Borland promptly after you obtain
alternative health coverage.

MITIGATION. EXCEPT AS OTHERWISE SPECIFICALLY PROVIDED HEREIN, YOU SHALL NOT BE
REQUIRED TO MITIGATE DAMAGES OR THE AMOUNT OF ANY PAYMENT PROVIDED UNDER THIS ADDENDUM BY SEEKING
OTHER EMPLOYMENT OR OTHERWISE, NOR SHALL THE AMOUNT OF ANY PAYMENT PROVIDED FOR UNDER THIS ADDENDUM
BE REDUCED BY ANY COMPENSATION YOU EARN AS A RESULT OF YOUR EMPLOYMENT BY ANOTHER EMPLOYER OR BY
ANY RETIREMENT BENEFITS YOU RECEIVE AFTER THE TERMINATION DATE.

SUCCESSORS.

Borland’s Successors. Any successor to Borland (whether direct or indirect and
whether by purchase, lease, merger, consolidation, liquidation or otherwise) to all or
substantially all of Borland’s business and/or assets shall assume Borland’s obligations under this
Addendum and agree expressly to perform Borland’s obligations under this Addendum in the same
manner and to the same extent as Borland would be required to perform such obligations in the
absence of a succession. For all purposes under this Addendum, the term “Borland” shall include
any successor to Borland’s business and/or assets which acknowledges it will be bound by the terms
of this Addendum or which becomes bound by the terms of this Addendum by operation of law.

Your Successors. Without the written consent of Borland, you shall not assign or
transfer this Addendum or any right or obligation under this Addendum to any other person or
entity. Notwithstanding the foregoing, the terms of this Addendum and all you rights hereunder
shall inure to the benefit of, and be enforceable by, your personal or legal representatives,
executors, administrators, successors, heirs, distributees, devisees and legatees.

NOTICES. NOTICES AND ALL OTHER COMMUNICATIONS CONTEMPLATED BY THIS ADDENDUM SHALL BE
IN WRITING AND SHALL BE DEEMED TO HAVE BEEN DULY GIVEN WHEN PERSONALLY DELIVERED OR WHEN MAILED BY
U.S. REGISTERED OR CERTIFIED MAIL, RETURN RECEIPT REQUESTED AND POSTAGE PREPAID. IN YOUR CASE,
MAILED NOTICES SHALL BE ADDRESSED TO YOU AT THE HOME ADDRESS WHICH YOU MOST RECENTLY COMMUNICATED
TO BORLAND IN WRITING. IN THE CASE OF BORLAND, MAILED NOTICES SHALL BE ADDRESSED TO ITS CORPORATE
HEADQUARTERS, AND ALL NOTICES SHALL BE DIRECTED TO THE ATTENTION OF ITS GENERAL COUNSEL.

CODE SECTION 409A.  THE PARTIES AGREE TO AMEND THIS ADDENDUM TO THE EXTENT NECESSARY
TO AVOID IMPOSITION OF ANY ADDITIONAL TAX OR INCOME RECOGNITION PRIOR TO ACTUAL PAYMENT TO YOU
UNDER CODE SECTION 409A AND ANY TEMPORARY OR FINAL TREASURY REGULATIONS AND INTERNAL REVENUE
SERVICE GUIDANCE THEREUNDER.

MISCELLANEOUS PROVISIONS.

Integration. This Addendum represents the entire agreement and understanding between
the parties as to the subject matter herein and supersede all prior or contemporaneous agreements
and provisions in other agreements related to severance benefits, whether written or oral. With
respect to any conflict between this Addendum and any stock option agreement, stock issuance
agreement or other stock award agreement, this Addendum shall prevail. With respect to any
conflict between this Addendum and the Offer Letter or any other employment related agreement, this
Addendum shall prevail. For the avoidance of doubt, with respect to any severance benefits
provided for under your Offer Letter, this Addendum shall supersede the provisions of your Offer
Letter with respect to severance benefits provided thereunder.

Choice of Law. The validity, interpretation, construction and performance of this
Addendum shall be governed by the internal substantive laws, but not the conflicts of law rules, of
the State of California.

Employment Taxes. All payments made pursuant to this Addendum shall be subject to
withholding of applicable income and employment taxes.

Non-Publication. The parties mutually agree not to disclose the terms of this
Addendum except to the extent that disclosure is mandated by applicable law, standard or required
corporate reporting, or disclosure is made to the parties’ respective advisors and agents (e.g.,
attorneys, accountants) or immediate family members.

2

IN WITNESS WHEREOF, each of the parties has executed this Addendum, in the case of Borland by its
duly authorized officer, as of the day and year first above written.

	 	 	 
	Borland software corporation:	 	Executive:	
	/s/ Tod Nielsen	 	/s/ Richard E. Novak
	(Signature)	 	(Signature)
	By: Tod Nielsen

	 	By: Richard E. Novak
	 

	 	 
	Title: President and Chief Executive Officer

	 	Title: SVP WW Field Operations
	 

	 	 

3

Appendix A

The following definitions shall be in effect under the severance benefits letter:

Base Salary. “Base Salary” means your annual base salary as in effect during the last
regularly scheduled payroll period immediately preceding the effective date of your termination due
to an Involuntary Termination.

Board. “Board” means the Board of Directors of Borland.

Change in Control. “Change in Control” means a change in ownership or control of the
Company effected through any of the following transactions:

there is consummated a merger, consolidation or other reorganization, unless
securities representing more than fifty percent (50%) of the total combined voting power of the
voting securities of the successor corporation are immediately thereafter beneficially owned,
directly or indirectly and in substantially the same proportion, by the persons who beneficially
owned the Corporation’s outstanding voting securities immediately prior to such transaction, or

the sale, transfer or other disposition of all or substantially all of the Corporation’s
assets in complete liquidation or dissolution of the Corporation other than a sale or disposition
by the Corporation of all or substantially all of the Corporation’s assets to an entity, at least
fifty percent (50%) of the combined voting power of the voting securities of which are owned by
stockholders of the Corporation in substantially the same proportions as their ownership of the
Corporation immediately prior to such sale, or

the acquisition, directly or indirectly, by any person or related group of persons (other than
the Corporation or a person that directly or indirectly controls, is controlled by, or is under
common control with, the Corporation) of beneficial ownership (within the meaning of Rule 13d-3 of
the 1934 Act) of securities possessing more than thirty percent (30%) of the total combined voting
power of the Corporation’s outstanding securities pursuant to a tender or exchange offer made
directly to the Corporation’s stockholders.

Notwithstanding the foregoing, a “Change in Control” shall not be deemed to have
occurred by virtue of the consummation of any transaction or series of integrated
transactions immediately following which the record holders of the Common Stock immediately
prior to such transaction or series of transactions continue to have substantially the same
proportionate ownership in an entity which owns all or substantially all of the assets of
the Corporation immediately following such transaction or series of transactions.

Change in Control Period. “Change in Control Period” means the period beginning
either (i) two (2) months prior to the effective date of a Change in Control and ending twelve (12)
months after the effective date of a Change in Control or (ii) two (2) months prior to the
effective date of a Hostile Takeover and ending twelve (12) months after the effective date of a
Hostile Takeover.

COBRA. “COBRA” means the Consolidated Omnibus Budget Reconciliation Act of 1985, as
amended.

Code. “Code” means the Internal Revenue Code of 1986, as amended.

Constructively Terminated. “Constructively Terminated” means your voluntary
resignation following (A) a change in your position with the Company (or any Parent or Subsidiary
employing you) which materially reduces your duties and responsibilities, (B) a reduction in your
level of compensation (including base salary, fringe benefits and target bonus under any corporate
performance based bonus or incentive programs) or (C) a relocation of your place of employment by
more than fifty (50) miles, provided and only if such change, reduction or relocation is effected
by the Corporation without your consent.

Hostile Take-Over. “Hostile Take-Over” shall be deemed to occur in the event of a
change in ownership or control of the Company effected through either of the following
transactions:

a change in the composition of the Board such that the following individuals cease for any
reason to constitute a majority of the Board then serving: individuals who, on the date hereof,
constitute the members of the Board and any new Board member (other than a Board member whose
initial assumption of office is in connection with an actual or threatened election contest,
including (but not limited to) a consent solicitation, relating to the election of Board members)
whose appointment or election by the Board or nomination for election by the Corporation’s
stockholders was approved or recommended by a vote of at least two-thirds (2/3) of the Board
members then still in office who either were Board members on the date hereof or whose appointment,
election or nomination for election was previously so approved or recommended, or

the acquisition, directly or indirectly, by any person or related group of persons (other than
Borland or a person that directly or indirectly controls, is controlled by, or is under common
control with, Borland) of beneficial ownership (within the meaning of Rule 13d-3 of the 1934 Act)
of securities possessing more than thirty percent (30%) of the total combined voting power of the
Borland’s outstanding securities pursuant to a tender or exchange offer made directly to the
Borland’s stockholders which the Board does not recommend such stockholders to accept.

Involuntary Termination. “Involuntary Termination” means any termination of you by
Borland which is not effected for Misconduct; (ii) any purported termination of you by Borland
which is effected for Misconduct but for which the grounds relied upon are not valid; (iii) any
voluntary termination by you as a result of your being Constructively Terminated; or (iv) the
failure of Borland to obtain the assumption of this Addendum by any successors contemplated in
Section 4 of the Addendum.

Misconduct. “Misconduct” means (i) your willful and continued failure to perform the
duties and responsibilities of your position that is not corrected within a thirty (30) day
correction period that begins upon delivery to you of a written demand for performance from Borland
that describes the basis for Borland’s belief that you have not substantially performed your
duties; (ii) any act of personal dishonesty taken by you in connection with your responsibilities
as an employee of Borland with the intention that such may result in substantial personal
enrichment for you; (iii) your conviction of, or plea of nolo contendre to, a felony that Borland
reasonably believes has had or will have a material detrimental effect on Borland’s reputation or
business, or (iv) your materially breaching your Employee Confidentiality and Assignment of
Inventions Agreement, which breach is (if capable of cure) not cured within thirty (30) days after
Borland delivers written notice to you of the breach.

Section 409A. “Section 409A” shall mean Section 409A of the Code.

Termination Date. “Termination Date” shall mean the effective date of any notice of
termination delivered by one party to the other hereunder.

4

Appendix B

Release of Claims 

I understand that my employment with Borland Software Corporation (“Borland”)
terminated effective      ,      (the “Separation Date”). Borland has
agreed that if I choose to sign this Release of Claims (“Release”), Borland will pay me
certain severance benefits (minus standard withholdings and deductions) pursuant to the terms of
the Employment Offer Letter Addendum for Severance Benefits letter between myself and Borland,
dated      (the “Agreement”). I understand that I am not entitled to such benefits
unless I sign this Release and it becomes fully effective. I understand that, regardless of
whether I sign this Release, Borland will pay me all of my accrued salary and vacation through the
Separation Date, to which I am entitled by law.

In consideration for the severance benefits I am receiving under the Agreement, as described
therein, I hereby generally and completely release Borland, its directors, officers, employees,
stockholders, partners, agents, attorneys, predecessors, successors, parent and subsidiary
entities, insurers, affiliates, and assigns from any and all claims, liabilities and obligations,
both known and unknown, that arise out of or are in any way related to events, acts, conduct, or
omissions occurring prior to my signing this Agreement. This general release includes, but is not
limited to: (1) all claims arising out of or in any way related to my employment with Borland or
the termination of that employment or the services I provided to Borland; (2) all claims related to
my compensation or benefits from Borland, including salary, bonuses, commissions, vacation pay,
expense reimbursements, severance pay, fringe benefits, stock options, restricted stock awards,
other equity compensation or any other ownership interests in Borland; (3) all claims for breach of
contract, wrongful termination, and breach of the implied covenant of good faith and fair dealing;
(4) all tort claims, including claims for fraud, defamation, emotional distress, and discharge in
violation of public policy; and (5) all federal, state, and local statutory claims, including
claims for discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under
the federal Civil Rights Act of 1964 (as amended), the federal Americans with Disabilities Act of
1990, the federal Age Discrimination in Employment Act of 1967 (as amended) (“ADEA”), and the
California Fair Employment and Housing Act (as amended). Notwithstanding anything contained in
this Release, nothing herein shall release the parties’ rights under this Release and my right (if
any) to indemnification granted by any act or agreement of Borland, state or federal law or policy
of insurance or any claims for severance benefits under the Agreement.

In releasing claims unknown to me at present, I am waiving all rights and benefits under
Section 1542 of the California Civil Code, and any law or legal principle of similar effect in any
jurisdiction: “A general release does not extend to claims which the creditor does not know or
suspect to exist in his or her favor at the time of executing the release, which if known by him or
her must have materially affected his or her settlement with the debtor.”

I understand this Release will not be effective until the ADEA Effective Date, defined below.
I acknowledge that I am knowingly and voluntarily waiving and releasing any rights I may have under
the ADEA. I also acknowledge that the consideration given for the waiver in the above paragraph is
in addition to anything of value to which I was already entitled. I have been advised by this
writing, as required by the ADEA that: (a) my waiver and release does not apply to any claims that
may arise after my signing of this Release; (b) I should consult with an attorney prior to signing
this Release; (c) I have twenty-one (21) days within which to consider this Release (although I may
choose to voluntarily sign this Release earlier); (d) I have seven (7) days after I sign this
Release to revoke it; and (e) this Release will not be effective until the eighth day after this
Release has been signed by me (the “ADEA Effective Date”).

I accept and agree to the terms and conditions stated above:

Date Rich Novak

5exhibit10-1.htm

    Exhibit
10.1

    Execution
Version

    Third
Amendment

     

    to

     

    Third
Amended and Restated Credit Agreement

     

    Among

     

    Linn
Energy, LLC

    as
Borrower,

     

    BNP
Paribas,

    as
Administrative Agent,

     

    and

     

    The
Lenders Signatory Hereto

     

    Effective
as of June 16, 2008

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    Third
Amendment to Third Amended and Restated Credit Agreement

     

    This
Third
Amendment to Third Amended and Restated Credit Agreement (this “Third Amendment”)
executed effective as of June 16, 2008 (the “Third Amendment Effective
Date”) is among Linn
Energy, LLC, a limited liability company formed under the laws of the
State of Delaware (the “Borrower”); each of
the undersigned guarantors (the “Guarantors”, and
together with the Borrower, the “Obligors”); each of
the Lenders that is a signatory hereto; and BNP
Paribas, as administrative agent for the Lenders (in such capacity,
together with its successors, the “Administrative
Agent”).

     

    Recitals

     

    A.           The
Borrower, the Administrative Agent and the Lenders are parties to that certain
Third Amended and Restated Credit Agreement dated as of August 31, 2007 (as
amended by that certain First Amendment to Third Amended and Restated Credit
Agreement dated as of November 2, 2007 and by that certain Second Amendment to
Third Amended and Restated Credit Agreement dated as of January 31, 2008, 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 Administrative Agent and the Lenders have agreed
to waive and/or amend certain provisions of the Credit Agreement.

     

    C.           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 which is defined in the Credit
Agreement, but which is not defined in this Third Amendment, shall have the
meaning ascribed such term in the Credit Agreement.  Unless otherwise
indicated, all section references in this Third Amendment refer to the Credit
Agreement.

     

    Section
2.                      Amendments to Credit
Agreement.

     

    2.1           Definitions.  Section
1.02 is hereby amended by adding or amending and restating the following
definitions:

     

    “ ‘Agreement’ means this
Third Amended and Restated Credit Agreement, as amended by that certain First
Amendment to Third Amended and Restated Credit Agreement, dated as of November
2, 2007, by that certain Second Amendment to Third Amended and Restated Credit
Agreement dated as of January 31, 2008, by that certain Third Amendment to Third
Amended and Restated Credit Agreement dated as of June 16, 2008, and as the same
may from time to time be further amended, modified, supplemented or
restated.”

     

    2.2           Definitions.  Section
1.02 is hereby further amended by adding the following definitions where
alphabetically appropriate:

     

    “  ‘Clean Down Period’
has the meaning assigned such term in Section
8.19.”

     

    
      
        
           

        

         

      

      
        Page
1

        
          

        

      

      
         

      

    

    “ ‘Distribution
Borrowing’ means that portion of any Borrowing the proceeds of which are
used to make any Restricted Payment constituting a distribution to members of
the Borrower made in accordance with Section 9.04(a)(iii)
..”

     

    2.3           Section
3.04(c).  Clause (viii) of Section 3.04(c) is hereby amended to
read as follows:

     

    “(viii)                      If
not otherwise required as prepayments by this Section 3.04 (including payments
required within 90 days pursuant to Section 3.04(c)(ii)), the Borrower shall use
100% of the Net Cash Proceeds of any Equity Interests or Funded Debt (or such
lesser portion as shall be necessary to prepay the Second Lien Term Loans in
full) to prepay the Second Lien Term Loans.”

     

    2.4           Section
8.19.  A new Section 8.19 is hereby added, which reads as
follows:

     

    Section
8.19                                Clean Down
Period.  During each calendar year during the term of this
Agreement, the Borrower shall cause there to be a period of ten (10) consecutive
days (the “Clean Down
Period”) during which (a) there are no Distribution Borrowings
outstanding and (b) no Distribution Borrowings shall be made.

     

    2.5           Section
9.02(e).  Section 9.02(e) is hereby amended and restated in its
entirety to read as follows:

     

    (e)           Debt
(i) associated with bonds or surety obligations required by Governmental
Requirements in connection with the operation of Oil and Gas Properties in the
ordinary course of business and (ii) comprised of guarantees of obligations of
Subsidiaries under marketing agreements entered into in the ordinary course of
business.

     

    2.6           Section
9.02(h).  Section 9.02(h) is hereby amended and restated in its
entirety to read as follows:

     

    (h)           Debt
and any guarantees thereof, provided that (1) (a) at the time such Debt is
incurred, no Default has occurred and is then continuing and (b) no Default
would result from the incurrence of such Debt after giving effect to the
incurrence of such Debt (and any concurrent repayment of Debt with the proceeds
of such incurrence), (2) immediately after the incurrence of such Debt, the
Borrowing Base shall be adjusted in accordance with Section 2.07(e) and/or
Section 3.04(c)(iv) and the incurrence of such Debt (and any concurrent
repayment of Debt with the proceeds of such incurrence) would not result in the
total Revolving Credit Exposure exceeding such adjusted Borrowing Base, (3) such
Debt does not have any scheduled amortization prior to four years after the
Maturity Date, (4) such Debt does not mature sooner than four years after the
Maturity Date, (5) such Debt and any guarantees thereof are on market terms for
issuers of similar size and credit quality given the then prevailing market
conditions and (6) such Debt does not have any mandatory prepayment or
redemption provisions (other than customary change of control or asset
sale

     

    
      
         

      

      
        Page
2

        
          

        

      

      
         

      

    

    tender
offer provisions) which would require a mandatory prepayment or redemption in
priority to the Indebtedness.

     

    2.7           Section
9.04(b).  Section 9.04(b) is hereby amended and restated in its
entirety to read as follows:

     

    (b)           Redemption or Repayment of
Subordinated Debt.  The Borrower will not, and will not permit
any Subsidiary to: (i) call, make or offer to make any optional Redemption of or
otherwise optionally Redeem (and in the case of any subordinated Debt, call,
make or offer to make any mandatory or optional Redemption) whether in whole or
in part or repay any Debt permitted to be incurred hereunder, including the
Second Lien Term Loan or any Permitted Refinancing Debt, except with the
proceeds of Asset Sales, Casualty Events or Funded Debt, or the proceeds of the
sale or issuance of Equity Interests or Permitted Refinancing Debt, in each
case, in accordance with Section 3.04; (ii) amend, modify, waive or otherwise
change, consent or agree to any amendment, modification, waiver or other change
to, any of the terms of any notes evidencing any Debt permitted hereunder,
including the Second Lien Term Loan or any Permitted Refinancing Debt, or any
indenture, agreement, instrument, certificate or other document relating to any
Debt permitted hereunder (including any agreement, instrument, certificate or
other document executed or delivered in connection with any Permitted
Refinancing Debt, the Second Lien Term Loan Agreement, any Second Lien Term Loan
Document and any other document or agreement relating thereto) if (A) the effect
of such amendment, modification or waiver is to shorten the final maturity,
except as permitted under Section 9.02(h) or in accordance with the definition
of Permitted Refinancing Debt, or increase the amount of any payment of
principal thereof or increase the rate or shorten any period for payment of
interest thereon or modify the method of calculating the interest rate, (B) such
action adds covenants, events of default or other agreements to the extent more
restrictive, taken as a whole, than those contained in this Agreement, as
determined by the Board of Directors of the Borrower in its reasonable and good
faith judgment, or (C) such action adds collateral unless the Loan Documents are
being amended at the same time to reflect such new collateral, provided that the
foregoing shall not prohibit the execution of supplemental agreements in
connection with the issuance of Permitted Refinancing Debt or the addition of
guarantors if required by the terms thereof; and (iii) designate any Debt (other
than obligations of the Borrower and the Subsidiaries pursuant to the Loan
Documents) as “Specified Senior Indebtedness” or “Specified Guarantor Senior
Indebtedness” or give any such other Debt any other similar designation for the
purposes of any indentures or other documents relating to any subordinated Debt
permitted hereunder, including the Second Lien Term Loan.

     

    2.8           Section
10.01(g).  Section 10.01(g) is hereby amended and restated in
its entirety to read as follows:

     

    
      
         

      

      
        Page
3

        
          

        

      

      
         

      

    

    (g)           any
event or condition occurs (after giving effect to any notice or cure period)
that results in any Material Indebtedness becoming due prior to its scheduled
maturity (other than the Second Lien Term Loans becoming due upon the giving of
notice of any prepayment thereof to be effected with the proceeds of permitted
refinancing Debt) or that enables or permits (with or without the giving of
notice, the lapse of time or both) the holder or holders of any Material
Indebtedness or any trustee or agent on its or their behalf to cause any
Material Indebtedness to become due, or to require the Redemption thereof or any
offer to Redeem to be made in respect thereof, prior to its scheduled maturity
or require the Borrower or any of its Subsidiaries to make an offer in respect
thereof.

     

    Section
3.                      Clarification regarding
Borrowing Base; Waivers.

     

    3.1           Adjustment to Borrowing Base
upon Incurrence of Funded Debt.  The parties wish to confirm
their mutual understanding regarding the interpretation of Section 2.07(e) and
Section 9.02(h).  In that regard, for the avoidance of doubt, the
parties intend that any adjustment to the Borrowing Base only occur in respect
of the net amount of Funded Debt incurred, i.e. the gross amount less the amount
of any Debt concurrently repaid or retired with the proceeds of such
incurrence.  As an example, if $500 million of Funded Debt were
incurred and $400 million of existing Funded Debt were retired with the proceeds
of such incurrence, the Borrowing Base adjustment under Section 2.07(e) would be
$25 million (25% of $100 million).

     

    3.2           The
Borrower has informed the Administrative Agent that it desires to sell certain
of its Appalachia Oil and Gas Properties identified in (i) that certain Purchase
and Sale Agreement Appalachia Region dated as of April 13, 2008, among Linn
Energy Holdings, LLC, Linn Operating, Inc., Penn West Pipeline, LLC (each of
which are Subsidiaries of the Borrower) and XTO Energy Inc. and (ii) that
certain Limited Partnership Asset Purchase and Sale Agreement Appalachia Region
dated April 13, 2008 among Linn Energy Holdings, LLC, Marathon 85-II Limited
Partnership, Marathon 85-III Limited Partnership and XTO Energy Inc. for
approximately $600,000,000 in the aggregate (collectively, the “Asset
Sale”).  The Borrower has informed the Administrative Agent and
the Lenders that consummation of the Asset Sale and application of the proceeds
thereof as currently contemplated may violate the following
sections:

     

    
      	
               
      

            	
              ·

            	
              Section
      3.04(c)(viii)—requirement that 100% of Net Cash Proceeds of Asset Sales be
      used to repay Second Lien Loans.

            

    

     

    
      	
               
      

            	
              ·

            	
              Section
      9.11—prohibition on sale of all or substantially all assets of a
      Subsidiary (sale of all or substantially all assets of Penn West Pipeline,
      LLC and Mid Atlantic Well Service,
Inc.).

            

    

     

    
      	
               
      

            	
              ·

            	
              Section
      9.15—prohibition on sale of Equity Interests in a Subsidiary (sale of all
      Equity Interests in Big Creek
Pipeline).

            

    

     

    3.3           The
Borrower further informs the Administrative Agent of its interests in Marathon
85-II Limited Partnership and Marathon 85-III Limited Partnership, each of which
constitutes the ownership of a Subsidiary other than a Wholly-Owned Subsidiary,
and that the continued ownership of such interests may violate Section
9.15.  The Borrower hereby requests

     

    
      
         

      

      
        Page
4

        
          

        

      

      
         

      

    

    that the
Lenders waive any Default or Event of Default that may have arisen prior to the
date hereof, or may hereafter arise, under Section 9.15 as a result of the
ownership of such non-Wholly Owned Subsidiaries

     

    3.4           The
Borrower hereby requests that the Lenders waive the foregoing Sections of the
Credit Agreement identified in Sections 3.2 and 3.3 of this Third Amendment to
permit the Asset Sale and the Lenders hereby waive such Sections of the Credit
Agreement.

     

    3.5           Neither
the execution by the Administrative Agent or the Lenders of this Third
Amendment, nor any other act or omission by the Administrative Agent or the
Lenders or their officers in connection herewith, shall be deemed a waiver by
the Administrative Agent or the Lenders of any other defaults which may exist,
which may have occurred prior to the Asset Sale, or which may occur in the
future under the Loan Agreement and/or the other Loan Documents, or any future
defaults of the same provision waived hereunder (collectively “Other
Violations”).  Similarly, nothing contained in this Third
Amendment shall directly or indirectly in any way whatsoever either: (i) impair,
prejudice or otherwise adversely affect the Administrative Agent’s or the
Lenders’ right at any time to exercise any right, privilege or remedy in
connection with the Loan Documents with respect to any Other Violations, (ii)
amend or alter any provision of the Loan Agreement, the other Loan Documents, or
any other contract or instrument, or (iii) constitute any course of dealing or
other basis for altering any obligation of the Borrower or any right, privilege
or remedy of the Administrative Agent or the Lenders under the Loan Agreement,
the other Loan Documents, or any other contract or
instrument.  Nothing in this Third Amendment shall be construed to be
a consent by the Administrative Agent or the Lenders to any Other
Violations.

     

    Section
4.                      Conditions
Precedent.  The effectiveness of this Third Amendment is
subject to the receipt by the Administrative Agent of the following documents
and satisfaction of the other conditions provided in this Section 4, each of
which shall be reasonably satisfactory to the Administrative Agent in form and
substance:

     

    4.1           Payment
by the Borrower to the Administrative Agent of all fees and other amounts due
and payable on or prior to the Third 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 Borrower.

     

    4.2           The
Administrative Agent shall have received multiple counterparts as requested of
this Third Amendment from the Majority Lenders.

     

    4.3           The
Administrative Agent shall have received such other documents as the
Administrative Agent or special counsel to the Administrative Agent may
reasonably request.

     

    4.4           No
Default or Event of Default shall have occurred and be continuing as of the
Third Amendment Effective Date.

     

    Section
5.                      Representations and
Warranties; Etc.  Each Obligor hereby affirms:  (a)
that as of the date of execution and delivery of this Third Amendment, all of
the representations and warranties contained in each Loan Document to which such
Obligor is a party are true and correct in all material respects as though made
on and as of the Third Amendment Effective Date

     

    
      
         

      

      
        Page
5

        
          

        

      

      
         

      

    

    (unless
made as of a specific earlier date, in which case, was true as of such date);
and (b) that after giving effect to this Third Amendment and to the transactions
contemplated hereby, no Defaults exist under the Loan Documents or will exist
under the Loan Documents.

     

    Section
6.                      Miscellaneous.

     

    6.1           Confirmation.  The
provisions of the Credit Agreement (as amended by this Third Amendment) shall
remain in full force and effect in accordance with its terms following the
effectiveness of this Third Amendment.

     

    6.2           Ratification and Affirmation
of Obligors.  Each of the Obligors hereby expressly (i)
acknowledges the terms of this Third Amendment, (ii) ratifies and affirms its
obligations under the Guarantee Agreement and the other Security Instruments to
which it is a party, (iii) acknowledges, renews and extends its continued
liability under the Guarantee Agreement and the other Security Instruments to
which it is a party and agrees that its guarantee under the Guarantee Agreement
and the other Security Instruments to which it is a party remains in full force
and effect with respect to the Indebtedness as amended hereby.

     

    6.3           Counterparts.  This
Third 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.

     

    6.4           No
Oral Agreement.  This
written Third 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.

     

    6.5           Governing
Law.  This
Third Amendment (including, but not limited to, the validity and enforceability
hereof) shall be governed by, and construed in accordance with, the laws of the
State of Texas.

     

    

     

    

     

    
      
         

      

      
        Page
6

        
          

        

      

      
         

      

    

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

     

    BORROWER:                                                      LINN
ENERGY, LLC

    

    

    

    By:/s/ Kolja
Rockov                                                   
            

    Kolja
Rockov,

    Executive
Vice President and Chief Financial Officer

    

    

    GUARANTORS:                        
LINN ENERGY HOLDINGS, LLC

    LINN
OPERATING, INC.

    PENN
WEST PIPELINE, LLC

    MID
ATLANTIC WELL SERVICE, INC.

    MID-CONTINENT
HOLDINGS I, LLC

    MID-CONTINENT
HOLDINGS II, LLC

    MID-CONTINENT
I, LLC

    MID-CONTINENT
II, LLC

    LINN
GAS MARKETING, LLC

    LINN
EXPLORATION MIDCONTINENT, LLC

    

    

    

    By:/s/ Kolja
Rockov                                                                

    Kolja
Rockov,

    Executive
Vice President and Chief Financial Officer

    

    
      
        
        

        Third
Amendment

      

      
        Signature
Page - 1

        
          

        

      

      
         

      

    

    BNP PARIBAS, as Administrative
Agent and a Lender

    

    

    By: /s/ Betsy
Jocher                                                              
 

    Name:
Betsy Jocher

    Title:   Director

    

    

    By: /s/ Robert Long                                                                

    Name: Robert
Long

    Title:   Vice
President

    

    

    

    ROYAL BANK OF CANADA, as
Syndication Agent and a Lender

    

    

    By: Don J.
McKinnerney                                                      
 

    Name: Don
J. McKinnerney

    Title:   Authorized
Signatory

    

    

    

    SOCIETE GENERALE, as a
Co-Documentation Agent and a Lender

    

    

    By: /s/ Stephen W.
Warfel                                                     

    Name: Stephen
W. Warfel

    Title:   Managing
Director

    

    

    

    COMERICA BANK, as a
Lender

    

    

    By: /s/ Gregory D.
Smith                                                        

    Name: Gregory
D. Smith

    Title:   Vice
President

    

    

    
      
        
        

        Third
Amendment

      

      
        Signature
Page - 2

        
          

        

      

      
         

      

    

    FORTIS CAPITAL CORP., as a
Lender

    

    

    

    By: /s/ David
Montgomery                                                  
  

    Name: David
Montgomery

    Title:   Director

    

    

    By: /s/ Darrell
Holley                                                              

    Name: Darrell
Holley

    Title:   Managing
Director

    

    

    

    CITIBANK, NA, as a
Co-Documentation Agent and a Lender

    

    

    By: /s/ David E.
Hunt                                                              

    Name: David
E. Hunt

    Title:   Vice
President

    

    

    

    KEYBANK NATIONAL ASSOCIATION,
as a Lender

    

    

    By: /s/ Thomas
Rajan                                                             

    Name: Thomas
Rajan

    Title:   Managing
Director

    

    

    

    WACHOVIA BANK, N.A., as a
Lender

    

    

    By: /s/ Leanne S.
Phillips                                                       

    Name: Leanne
S. Phillips

    Title:   Director

    

    

    

    
      
        
        

        Third
Amendment

      

      
        Signature
Page - 3

        
          

        

      

      
         

      

    

    BMO CAPITAL MARKETS FINANCING,
INC., as a Co-Documentation Agent and a Lender

    

    

    By: /s/ James V.
Ducote                                                         

    Name: James
V. Ducote

    Title:   Director

    

    

    

    CREDIT SUISSE, as a
Lender

    

    

    By: /s/ Vanessa
Gomez                                                           

    Name: Vanessa
Gomez

    Title:   Director

    

    

    By: /s/ Nupur
Kumar                                                               

    Name: Nupur
Kumar

    Title:   Associate

    

    

    COMPASS BANK, as a
Lender

    

    

    By: /s/ Greg
Determann                                                          

    Name: Greg
Determann

    Title:   Vice
President

    

    

    

    DnB NOR BANK ASA, as a
Lender

    

    

    By: /s/ Henrik
Asland                                                             

    Name: Henrik
Asland

    Title:   Senior
Vice President

    

    

    By: /s/ Thomas
Tangen                                                          

    Name: Thomas
Tangen

    Title:   First
Vice President

    

    

    

    
      
        
        

        Third
Amendment

      

      
        Signature
Page - 4

        
          

        

      

      
         

      

    

    DZ BANK AG, DEUTSCHE
ZENTRAL-GENOSSENSCHAFTSBANK, FRANKFURT AM MAIN, NEW YORK BRANCH, as a
Lender

    

    

    By:                                                                                             

    Name:

    Title:

    

    

    By:                                                                                             

    Name:

    Title:

    

    

    

    GUARANTY BANK, FSB, as a
Lender

    

    

    By: /s/ W. David McCarver
IV                                              

    Name: W.
David McCarver IV

    Title:   Vice
President

    

    

    

    LEHMAN BROTHERS COMMERCIAL
BANK, as a Lender

    

    

    By: /s/ Darren S.
Lane                                                             

    Name: Darren
S. Lane

    Title:   Operations
Officer

    

    

    

    JPMORGAN CHASE BANK, N.A., as
a Lender

    

    

    By: /s/ Michael A.
Kamauf                                                     

    Name: Michael
A. Kamauf

    Title:   Vice
President

    

    
      
        
        

        Third
Amendment

      

      
        Signature
Page - 5

        
          

        

      

      
         

      

    

    THE ROYAL BANK OF SCOTLAND
plc, as a Lender

    

    

    By: /s/ Mark Lumpkin,
Jr.                                                       

    Name: Mark
Lumpkin, Jr.

    Title:   Vice
President

    

    

    

    RZB FINANCE LLC, as a
Lender

    

    

    By: /s/ Shirley
Ritch                                                                

    Name: Shirley
Ritch

    Title:   Assistant
Vice President

    

    

    By: /s/ John A.
Valiska                                                           

    Name: John
A. Valiska

    Title:   First
Vice President

    

    

    

    UNION BANK OF CALIFORNIA,
N.A., as a Lender

    

    

    By: /s/ Scott Gildea                                                                 

    Name: Scott
Gildea

    Title:   Vice
President

    

    

    

    U.S. BANK NATIONAL
ASSOCIATION, as a Lender

    

    

    By: /s/ Tyler
Fauerbach                                                          

    Name: Tyler
Fauerbach

    Title:   Vice
President

    

    

    

    

    
      
        
        

        Third
Amendment

      

      
        Signature
Page - 6

        
          

        

      

      
         

      

    

    CALYON NEW YORK BRANCH, as a
Lender

    

    

    By: /s/ Tom Byargeon       Sharada
Manne        

    Name: Tom
Byargeon       Sharada
Manne

    Title:   Managing
Director    Director

    

    

    

    THE BANK OF NOVA SCOTIA, as a
Lender

    

    

    By: /s/ David Mills                                                                  

    Name: David
Mills

    Title:   Director

    

    

    

    DEUTSCHE BANK TRUST COMPANY
AMERICAS, as a Lender

    

    

    By: /s/ David J.
Bell                                                                 

    Name: David
J. Bell

    Title:   Managing
Director

    

    

    By: /s/ Dusan
Lazarov                                                            

    Name: Dusan
Lazarov

    Title:   Vice
President

    

    

    

    ALLIED IRISH BANKS P.L.C., as
a Lender

    

    

    By: /s/ David O’Driscoll       Robert F.
Moyle          

    Name: David
O’Driscoll        Robert F.
Moyle

    Title:   Assistant
Vice President  Senior Vice
President

    

    

    

    

    
      
        
        

        Third
Amendment

      

      
        Signature
Page - 7

        
          

        

      

      
         

      

    

    WESTLB AG, NEW YORK BRANCH, as
a Lender

    

    

    By:                                                                                             

    Name:

    Title:

    

    

    

    SUNTRUST BANK, as a
Lender

    

    

    By: /s/ Yann Pirio                                                                     

    Name: Yann
Pirio

    Title:   Director

    

     

    Third Amendment

    Signature Page - 8

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