Document:

ex_10-8.htm

    EXHIBIT 10.8

     

     

    

      EXECUTION
VERSION

      

      

      

      Date: as
of April 16, 2009

       

      

      

      RUSHMORE
SHIPPING LLC,

      as
Owners

       

      BEEKMAN
SHIPPING CORP.,

      as
Charterers

      

      -and-

      

      TBS
INTERNATIONAL LIMITED,

      as
Guarantor

      

      _______________________________________________________

      

      SECOND
AMENDATORY AGREEMENT

      ______________________________________________________

      

      Amending
and Supplementing the Bareboat Charter Party dated as of January 24, 2007, as
amended and supplemented by the First Amendatory Agreement thereto dated as of
March 26, 2009,

      in
respect of the Panamanian registered and Philippine bareboat
registered

      LAGUNA
BELLE

      

      

       

      
 

      
        
           

        

        
           

          
            

          

        

        
           

        

      

      SECOND
AMENDATORY AGREEMENT dated as of April 16, 2009 (this “Agreement”)

      

      AMONG

      

      
        	
                (1)  

              	
                RUSHMORE
      SHIPPING LLC, a Marshall Islands limited liability company, as owners (the
      “Owners”);

              

      

       

      
        	
                (2)  

              	
                BEEKMAN
      SHIPPING CORP., a Marshall Islands corporation, as bareboat charterers
      (the “Charterers”);
      and

              

      

       

      
        	
                (3)  

              	
                TBS
      INTERNATIONAL LIMITED, a Bermuda company, as guarantor (the “Guarantor”).

              

      

       

      WITNESSETH
THAT:

      

      WHEREAS, the Owners, the
Charterers and the Guarantor are parties to a bareboat charter party dated as of
January 24, 2007 (the “Charter”);

      

      WHEREAS, the Owners, the
Charterers and the Guarantor amended and supplemented the Charter upon the terms
and conditions of a First Amendatory Agreement thereto dated as of March 26,
2009 (the “First Amendatory
Agreement”);

      

      WHEREAS, pursuant to Clause
2.1 of the First Amendatory Agreement, in consideration of the Owner agreeing to
enter into the First Amendatory Agreement the Charterer agreed to pay a fee (the
“Fee”) to the Owner in
an amount to be determined between the Owner and the Charterer and paid by the
Charterer within 21 days of the date of the First Amendatory Agreement;
and

      

      WHEREAS, upon the terms and
conditions stated herein, the parties hereto have agreed that:

      

      
        	
                (a)

              	
                the
      Fee shall be in the amount of $175,000;
and

              

      

      

      
        	
                (b)  

              	
                Clause
      31 of the Charter shall be amended to provide for an increase in the
      amount of Charter Hire payable by the Charterer in the event that (i) the
      Margin stated (and as such term is defined in) in the Loan Agreement is
      increased or (ii) any Lender under the Loan Agreement makes demand upon
      the Borrowers for such Lender’s actual cost of funds, up to in each case a
      maximum of $300.00 per day.

              

      

      

      NOW, THEREFORE, in
consideration of the premises set forth above, the covenants and agreements
hereinafter set forth, the parties hereto agree as follows:

      

      
        	
                1  

              	
                DEFINITIONS

              

      

      

      
        	
                1.1  

              	
                Defined
      terms.  Capitalized terms used but not defined herein
      shall have the meaning assigned such terms in the Charter as amended by
      the First Amendatory Agreement.

              

      

      

      
        	
                2  

              	
                FEE;
      AMENDMENT OF CLAUSE 31(1)

              

      

       

      
        	
                2.1  

              	
                Fee.  In
      respect of Clause 2.1 of the First Amendatory Agreement, the Fee payable
      by the Charterer to the Owner shall be
$175,000.

              

      

       

      
        	
                2.2  

              	
                Payment of
      Fee.  The Charterer shall pay the Fee to the Owner upon
      execution of this Agreement.

              

      

       

      
        	
                2.3  

              	
                Amendment.  Clause
      31(1) of the Charter is amended to add, immediately following subparagraph
      (c), a new paragraph reading as
follows:

              

      

      

      “Notwithstanding
the foregoing, in the event that (i) the Margin stated (and as such term is
defined in) in the Loan Agreement is increased or (ii) any Lender under the Loan
Agreement makes demand upon the Borrowers for such Lender’s actual cost of
funds, the amount of daily Charter Hire payable by the Charterer shall be
increased by the amount payable by the Owner to the Lenders, up to in each case
a maximum of $300.00 per day.”

      

      
        	
                2.4  

              	
                References.  Each
      reference in the Charter to “this Charter”, “hereunder”, “hereof”,
      “herein” or words of like import shall mean and refer to the Charter as
      amended hereby and by the First Amendatory
  Agreement.

              

      

      

      
        	
                2.5  

              	
                Effect of this
      Agreement.  Subject to the terms of this Agreement, with
      effect on and from the date hereof, the Charter shall be, and shall be
      deemed by this Agreement to have been, amended upon the terms and
      conditions stated herein and, as so amended, the Charter shall continue to
      be binding on each of the parties to it in accordance with its terms as so
      amended.

              

      

      

      
        	
                2.6  

              	
                No other amendments or
      waivers.  Except as amended or waived hereby, all other
      terms and conditions of the Charter, as amended by the First Amendatory
      Agreement, remain unchanged and the Charter, as amended by the First
      Amendatory Agreement, is hereby ratified and confirmed.  Without
      limiting the foregoing, the Guarantor acknowledges and agrees that its
      guarantee under Clause 53 of the Charter, as amended by the First
      Amendatory Agreement, remains in full force and
  effect.

              

      

       

      
        	
                3  

              	
                MISCELLANEOUS

              

      

       

      
        	
                3.1  

              	
                Governing
      Law.  This Agreement and the rights and obligations of
      the parties hereunder shall be governed by, and construed in accordance
      with, Clause 26.2 of the Charter.

              

      

       

      
        	
                3.2  

              	
                Counterparts.  This
      Agreement may be executed in any number of counterparts, all of which
      taken together shall constitute one and the same
    instrument.

              

      

       

      
        	
                3.3  

              	
                Severability.  Any
      provision of this Agreement that is prohibited or unenforceable in any
      jurisdiction shall, as to such jurisdiction, be ineffective to the extent
      of such prohibition or unenforceability without invalidating or affecting
      the validity or enforceability of such provision in any other
      jurisdiction.

              

      

       

      
        	
                3.4  

              	
                Payment of
      Expenses.  The parties hereto agree to pay or reimburse
      each of the Credit Parties for all reasonable expenses in connection with
      the preparation, execution and carrying out of this Agreement and any
      other document in connection herewith or therewith, including but not
      limited to, reasonable fees and expenses of any counsel whom the Credit
      Parties may deem necessary or appropriate to retain, any duties,
      registration fees and other charges and all other reasonable out-of-pocket
      expenses incurred by any of the Credit Parties in connection with the
      foregoing.

              

      

       

      WHEREFORE,
the parties hereto have caused this Second Amendatory Agreement to be executed
as of the date first above written.

      

      
        	
                RUSHMORE
      SHIPPING LLC, as Owners

                 

                 

                 

                By:
      /s/ Asandro
      Van
      Aerde                               
      

                Name:
      Asandro Van Aerde

                Title:
      Director

                 

                 

                 

                By:________________________________

                Name:
      Adnan Mohammed

                Title:
      Director

                 

              	
                BEEKMAN
      SHIPPING CORP., as Charterers

                 

                 

                 

                By:
      /s/
      Christophil B.
      Costas                           
      

                Christophil B.
Costas

                Attorney-in-Fact

                 

              
	
                TBS
      INTERNATIONAL LIMITED, as Guarantor

                 

                 

                 

                By:
      /s/ Christophil B.
      Costas                           
            
                  Christophil B.
Costas

                  Attorney-in-Fact

                

              	 
      

      

      

      

      

      CONSENT

      

      Pursuant
to Clause 10.2(k) of the Loan Agreement dated as of January 25, 2007 among
Adirondack Shipping LLC and Rushmore Shipping LLC. as Borrowers, the banks and
financial institutions named therein as Lenders and DVB Bank America N.V. as
Facility Agent and Security Trustee, the Facility Agent, for and on behalf of,
and upon the instruction of, the Majority Lenders (as defined in said Loan
Agreement), hereby consents and agrees to the foregoing Agreement.

      

      DVB BANK
AMERICA N.V.,

      as
Facility Agent for and on behalf of the Majority Lenders

      

      

      By:
_______________________________

      Daniel C. Rodgers

      Attorney-in-Factex_10-9.htm

    TBS
INTERNATIONAL PLC & SUBSIDIARIES                EXHIBIT
10.9

    

      

      

      

      Date: as
of December 31, 2009

      

      

      RUSHMORE
SHIPPING LLC

      as
Owner

      

      

      BEEKMAN
SHIPPING CORP.

      as
Charterer

      

      and

      

      TBS
INTERNATIONAL LIMITED

      as
Guarantor

      

      

      

      _______________________________________________________

      

      THIRD
AMENDATORY AGREEMENT

      ______________________________________________________

      

      Amending
and Supplementing the Bareboat Charter Party dated as of January 24, 2007, as
amended and supplemented by the First Amendatory Agreement thereto dated as of
March 26, 2009 and by the Second Amendatory Agreement thereto dated as of April
16, 2009, in respect of the Panamanian registered and Philippine bareboat
registered LAGUNA BELLE

      

      

       

       

      
 

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      THIRD
AMENDATORY AGREEMENT dated as of December 31, 2009 (this “Agreement”)

      

      AMONG

      

      
        	
                (1)  

              	
                RUSHMORE
      SHIPPING LLC, a Marshall Islands limited liability company, as Owner (the
      “Owner”);

              

      

       

      
        	
                (2)  

              	
                BEEKMAN
      SHIPPING CORP., a Marshall Islands corporation, as bareboat Charterer (the
      “Charterer”);  and

              

      

       

      
        	
                (3)  

              	
                TBS
      INTERNATIONAL LIMITED, a Bermuda company, as guarantor (the “Guarantor”);

              

      

       

      WITNESSETH
THAT:

      

      WHEREAS, the Owner, the
Charterer and the Guarantor are parties to a bareboat charter party dated as of
January 24, 2007, as amended and supplemented by the First Amendatory Agreement
thereto dated as of March 26, 2009 and by the Second Amendatory Agreement
thereto dated as of April 16, 2009 (as so amended and supplemented, the “Charter”).

      

      WHEREAS, the obligations of
the Charterer under the Charter are guaranteed by the Guarantor pursuant to
Clause 53 of the Charter.

      

      WHEREAS, the waivers granted
pursuant to Clause 2.3 of the First Amendatory Agreement in respect of Clause
35(3)(a) of the Charter will expire as of 12:01 am on January 1, 2010 (the
“Specified Charterparty Event
of Default”).

      

      WHEREAS, upon the terms and
conditions stated herein, the parties hereto have agreed to:

      

      
        	
                (a)  

              	
                amend
      certain provisions of the Charter;
and

              

      

      

      
        	
                (b)  

              	
                extend
      the temporary waiver of compliance by the Guarantor with the requirements
      of Clauses 35(3)(a) of the Charter during the Waiver
    Period.

              

      

      

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

      

      
        	
                1  

              	
                DEFINITIONS

              

      

      

      
        	
                1.1  

              	
                Defined
      terms.  Capitalized terms used but not defined herein
      shall have the meaning assigned such terms in the Charter.  In
      addition:

              

      

       

      “Waiver Period” means the
period commencing on the date hereof and ending on the earliest to occur of (a)
April 1, 2010 at 12:00 a.m. Eastern Time and (b) the occurrence after the
commencement of the Waiver Period of any Charterparty Event of Default (other
than the Specified Charterparty Event of Default)
including, without limitation, any failure to comply with the provisions of this
Third Amendatory Agreement.

      

      
        	
                2  

              	
                AMENDMENTS
      TO THE CHARTER

              

      

       

      
        	
                2.1  

              	
                Amendments.  The
      parties hereto agree to amend the Charter as follows with effect on and
      from the date hereof:

              

      

      

      
        	
                (a)  

              	
                Clause
      31(1) is amended and restated to read as
  follows:

              

      

      

      “(1)           The
Charterer shall pay to the Owner for the hire of the Vessel monthly Charter Hire
in United States currency, at the rates set forth below, commencing on and from
the Delivery Date.  Hire to continue until the date and hour when the
Vessel is redelivered by the Charterer:

      

      (a)           Months
1 –
24:                                           $10,500.00
per day Charter Hire

      

      (b)           Months
25 –
36:                                $10,000.00
per day Charter Hire

      

      (c)           Months
36 –
47:                                $8,041.01
per day Charter Hire

      

      (d)           Months
48 –
59:                                $7,908.64
per day Charter Hire

      

      (e)           Months
60 –
71:                                $7,826.72
per day Charter Hire

      (f)           Months
72 –
84:                                $7,747.53
per day Charter Hire”

      

      
        	
                (b)  

              	
                Clause
      35(3) is amended and restated to read as
  follows:

              

      

      

      
        	
                 
      

              	
                “(3)

              	
                For
      the duration of the Charter Period, and until all Charter Party
      Obligations have been fulfilled and satisfied, the Guarantor
      covenants:

              

      

      

      (a)           to
be in compliance with:

      

      
        	
                (i)  

              	
                either
      (x) the financial covenants set forth in Section 7.13 of the Amended and
      Restated Credit Agreement dated as of March 26, 2008, as amended or
      supplemented from time to time, among Albemarle Maritime Corp., Arden
      Maritime Corp., Avon Maritime Corp., Birnam Maritime Corp., Bristol
      Maritime Corp., Chester Shipping Corp., Cumberland Navigation Corp., Darby
      Navigation Corp., Dover Maritime Corp., Elrod Shipping Corp., Exeter
      Shipping Corp., Frankfort Maritime Corp., Glenwood Maritime Corp., Hansen
      Shipping Corp., Hartley Navigation Corp., Henley Maritime Corp., Hudson
      Maritime Corp., Jessup Maritime Corp., Montrose Maritime Corp., Oldcastle
      Shipping Corp., Quentin Navigation Corp., Rector Shipping Corp., Remsen
      Navigation Corp., Sheffield Maritime Corp., Sherman Maritime Corp.,
      Sterling Shipping Corp., Stratford Shipping Corp., Vedado Maritime Corp.,
      Vernon Maritime Corp., Windsor Maritime Corp. and other persons named
      therein from time to time as Borrowers, (ii) the Guarantor as Holdings,
      (iii) TBS Shipping Services Inc. as Administrative Borrower, (iv) each
      lender from time to time party thereto as Lenders and (v) Bank of America,
      N.A. as Administrative Agent, Swing Line Lender and L/C Issuer, upon the
      terms and conditions of which a $267.5 million credit facility was made
      available to the Borrowers named therein (the “Bank of America Credit Facility
      Agreement”) or (y) such other financial covenants temporarily
      permitted under the Bank of America Credit Facility Agreement in lieu of
      the financial covenants set forth in Section 7.13 thereof pursuant to any
      amendment or waiver executed in respect of the Bank of America Credit
      Facility Agreement; and

              

      

       

      
        	
                (ii)  

              	
                clauses
      10.2(h)(ii) and 10.2(i)(i) of the Loan Agreement dated as of January 16,
      2008, as amended by the First Amendatory Agreement thereto dated as of
      March 23, 2009 and the Second Amendatory Agreement thereto dated as of
      December 31, 2009, among (i) Bedford Maritime Corp., Brighton Maritime
      Corp., Hari Maritime Corp., Prospect Navigation Corp., Hancock Navigation
      Corp., Columbus Maritime Corp. and Whitehall Marine Transport Corp. as
      Borrowers, (ii) the Guarantor as Guarantor, (iii) the banks and financial
      institutions named therein as Lenders, (iv) DVB Group Merchant Bank (Asia)
      Ltd. as Facility
      Agent and Security Trustee, (v) The Governor and Company of the Bank of
      Ireland (“BOI”) as
      Payment Agent, (vi) DVB Bank SE, BOI and Natixis as Swap Banks and (vii)
      Mount Washington LLC as Arranger;
and

              

      

       

      
        	
                (b)  

              	
                to
      subordinate any and all claims of whatever nature which the Guarantor has
      or may hereafter have against the Charterer to any and all claims of
      whatever nature which the Owner has or may hereafter have against the
      Charterer during the Charter Period and until all Charter Party
      Obligations have been fulfilled.”

              

      

      

      
        	
                3  

              	
                TEMPORARY
      WAIVER OF COMPLIANCE WITH CLAUSE
35(3)

              

      

       

      
        	
                3.1  

              	
                Temporary
      waiver.  The parties hereto agree to extend temporarily
      the waiver of compliance by the Guarantor with the requirements of Clause
      35(3) of the Charter, as amended above, during the Waiver Period (and for
      the avoidance of doubt the Guarantor’s compliance with the requirements of
      Clause 35(3) of the Charter, as amended above, shall be reinstated
      immediately upon the expiration of the Waiver Period and shall be required
      at all times thereafter).

              

      

      

      
        	
                3.2  

              	
                Covenants.  In
      consideration of the temporary waiver made in Clause 3.1, during the
      Waiver Period the Guarantor shall
not:

              

      

      

      
        	
                (a)  

              	
                for
      each calendar month ending on or after January 1, 2010, permit Qualified
      Cash of the Loan Parties to be less than the greater of (i) $25,000,000 or
      (ii) $40,000,000 minus
      any prepayment of Indebtedness made during such calendar month as
      permitted after giving effect to Amendment No. 2 to the Bank of America
      Credit Facility Agreement, of which a minimum average balance of
      $9,375,000 in any such calendar month shall be deposited with Bank of
      America, N.A.;

              

      

      

      
        	
                (b)  

              	
                permit
      the Consolidated Interest Charges Coverage Ratio as of the four fiscal
      quarters ending December 31, 2009 to be less than 1.75:1.00;
      and

              

      

      

      
        	
                (c)  

              	
                prepay,
      redeem, purchase, defease or otherwise satisfy prior to the scheduled
      maturity thereof, in any manner, or make any payment in violation of any
      subordination terms of, any Indebtedness,
  except:

              

      

      

      
        	
                 
      

              	
                (i)

              	
                the
      prepayment of the Credit Extensions in accordance with the terms of the
      Bank of America Credit Facility
Agreement;

              

      

      

      
        	
                 
      

              	
                (ii)

              	
                regularly
      scheduled or required repayments, mandatory prepayments or redemptions of
      Indebtedness described on Schedule 7.02 of the Bank of America Credit
      Facility Agreement in respect of the RBS Credit Facility Agreement, the
      Credit Suisse Credit Facility Agreement, the AIG Credit Facility
      Agreement, the Commerzbank Credit Facility Agreement and the Berenberg
      Credit Facility Agreement; and

              

      

      

      
        	
                 
      

              	
                (iii)

              	
                other
      prepayments of Indebtedness described on Schedule 7.02 the Bank of America
      Credit Facility Agreement in respect of the RBS Credit Facility Agreement,
      the Credit Suisse Credit Facility Agreement, the AIG Credit Facility
      Agreement, the Commerzbank Credit Facility Agreement and the Berenberg
      Credit Facility Agreement,

              

      

      

      provided that (A) any such
prepayment of Indebtedness corresponds to an amortization payment due during the
Waiver Period and that was otherwise due under such loan facility without giving
effect to any amendment or modification occurring after the Amendment No. 1
Effective Date and (B) all such prepayments of Indebtedness shall occur on or
after January 4, 2010.

      

      For
purposes of (a), (b) and (c) above, all capitalized terms not otherwise defined
herein shall have the meaning assigned to such terms in the Bank of America
Credit Facility Agreement.

      

      
        	
                4  

              	
                MISCELLANEOUS

              

      

       

      
        	
                4.1  

              	
                References.  Each
      reference in the Charter to “this Charter”, “hereunder”, “hereof”,
      “herein” or words of like import shall mean and refer to the Charter as
      amended hereby.

              

      

      

      
        	
                4.2  

              	
                Effect of this
      Agreement.  Subject to the terms of this Agreement, with
      effect on and from the date hereof, the Charter shall be, and shall be
      deemed by this Agreement to have been, amended upon the terms and
      conditions stated herein and, as so amended, the Charter shall continue to
      be binding on each of the parties to it in accordance with its terms as so
      amended.

              

      

      

      
        	
                4.3  

              	
                No other amendments or
      waivers.  Except as amended or waived hereby, all other
      terms and conditions of the Charter remain unchanged and the Charter is
      hereby ratified and confirmed.  Without limiting the foregoing,
      the Guarantor acknowledges and agrees that its guarantee under Clause 53
      of the Charter, as amended hereby, is hereby ratified and
      confirmed.

              

      

      

      
        	
                4.4  

              	
                Governing
      Law.  This Agreement and the rights and obligations of
      the parties hereunder shall be governed by, and construed in accordance
      with, Clause 26.2 of the Charter.

              

      

      

      
        	
                4.5  

              	
                Counterparts.  This
      Agreement may be executed in any number of counterparts, all of which
      taken together shall constitute one and the same
    instrument.

              

      

      

      
        	
                4.6  

              	
                Severability.  Any
      provision of this Agreement that is prohibited or unenforceable in any
      jurisdiction shall, as to such jurisdiction, be ineffective to the extent
      of such prohibition or unenforceability without invalidating or affecting
      the validity or enforceability of such provision in any other
      jurisdiction.

              

      

      

      
        	
                4.7  

              	
                Payment of
      Expenses.  The parties hereto agree to pay or reimburse
      each of DVB Bank SE and DVB Bank America N.V. (collectively, the “Credit Parties”) for all
      reasonable expenses in connection with the preparation, execution and
      carrying out of this Agreement and any other document in connection
      herewith or therewith, including but not limited to, reasonable fees and
      expenses of any counsel whom the Credit Parties may deem necessary or
      appropriate to retain, any duties, registration fees and other charges and
      all other reasonable out-of-pocket expenses incurred by any of the Credit
      Parties in connection with the
foregoing.

              

      

      

      
        
          
            19112834
v1

          

           

        

        
           

          
            

          

        

        
           

        

      

      WHEREFORE,
the parties hereto have caused this Third Amendatory Agreement to be executed as
of the date first above written.

      

      
        	
                RUSHMORE
      SHIPPING LLC, as Owner

                 

                 

                 

                      
                  By:
      /s/ AFSpomebe  /s/ Asandro
      Van Aerde

                  Name:
      AF Spomebe  
      Asandro Van Aerde 

                  Title:
      Secretary 

                

                 

              	
                BEEKMAN  SHIPPING
      CORP., as Charterer

                 

                 

                 

                By:  /s/ William J.
      Carr                             
      

                Name:
      William J. Carr

                Title:
      President / Director 

                 

              
	
                TBS
      INTERNATIONAL LIMITED, as Guarantor

                 

                 

                 

                
                  By:  /s/ William J.
      Carr                             
      

                  Name:
      William J. Carr

                  Title:
      President / Director 

                

                 

              	 
      

      

      

      

      

      CONSENT

      

      Pursuant
to Clause 10.2(k) of the Loan Agreement dated as of January 25, 2007, as
amended, among Adirondack Shipping LLC and Rushmore Shipping LLC as Borrowers,
the banks and financial institutions named therein as Lenders and DVB Bank
America N.V. as Facility Agent and Security Trustee, the Facility Agent, for and
on behalf of, and upon the instruction of, the Majority Lenders (as defined in
said Loan Agreement), hereby consents and agrees to the foregoing
Agreement.

      

      DVB BANK
AMERICA N.V.,

      as
Facility Agent for and on behalf of the Majority Lenders

      

      

      By: /s/ Jane Freeberg
Sarma                      

          Jane Freeberg
Sarma

          Attorney-in-Fact

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