Document:

exv10w44

 

EXHIBIT
10.44

REGISTRATION RIGHTS AGREEMENT

     This Registration Rights Agreement (this “Agreement”) is made and entered into as of
December 7, 2006, among Syntax-Brillian Corporation, a Delaware corporation (the
“Company”), and the purchasers signatory hereto (each such purchaser is a
“Purchaser” and collectively, the “Purchasers”).

     This Agreement is made pursuant to the Securities Purchase Agreement, dated as of December 1,
2006, among the Company and the Purchasers (the “Purchase Agreement”).

     The Company and the Purchasers hereby agree as follows:

     1. Definitions. Capitalized terms used and not otherwise defined herein that are
defined in the Purchase Agreement shall have the meanings given such terms in the Purchase
Agreement. As used in this Agreement, the following terms shall have the following meanings:

          “Advice” shall have the meaning set forth in Section 6(c).

          “Effectiveness Date” means, with respect to the initial Registration Statement
required to be filed hereunder, the 120th calendar day following the date hereof and,
with respect to any additional Registration Statements which may be required pursuant to Section
3(b), the 90th calendar day following the date on which the Company first knows, or
reasonably should have known, that such additional Registration Statement is required hereunder;
provided, however, in the event the Company is notified by the Commission that one
of the above Registration Statements will not be reviewed or is no longer subject to further review
and comments, the Effectiveness Date as to such Registration Statement shall be no later than the
tenth Trading Day following the date on which the Company is so notified if such date precedes the
dates required above.

          “Effectiveness Period” shall have the meaning set forth in Section 2.

          “Filing Date” means, with respect to the initial Registration Statement required
hereunder, the 60th calendar day following the date hereof and, with respect to any
additional Registration Statements which may be required pursuant to Section 3(b), the
30th day following the date on which the Company first knows, or reasonably should have
known, that such additional Registration Statement is required hereunder.

          “Holder” or “Holders” means the holder or holders, as the case may be, from
time to time of Registrable Securities.

          “Indemnified Party” shall have the meaning set forth in Section 5(c).

          “Indemnifying Party” shall have the meaning set forth in Section 5(c).

          “Losses” shall have the meaning set forth in Section 5(a).

 

 

          “Proceeding” means an action, claim, suit, investigation, or proceeding (including,
without limitation, an investigation or partial proceeding, such as a deposition), whether
commenced or threatened.

          “Prospectus” means the prospectus included in a Registration Statement (including,
without limitation, a prospectus that includes any information previously omitted from a prospectus
filed as part of an effective registration statement in reliance upon Rule 430A promulgated under
the Securities Act), as amended or supplemented by any prospectus supplement, with respect to the
terms of the offering of any portion of the Registrable Securities covered by a Registration
Statement, and all other amendments and supplements to the Prospectus, including post-effective
amendments, and all material incorporated by reference or deemed to be incorporated by reference in
such Prospectus.

          “Registrable Securities” means all of (i) the Shares issuable, (ii) the Warrant Shares
issuable, (iii) any additional shares issuable in connection with any anti-dilution provisions in
the Warrants (without giving effect to any limitations on exercise set forth in the Warrant), and
(iv) any shares of Common Stock issued or issuable upon any stock split, dividend, or other
distribution, recapitalization, or similar event with respect to the foregoing.

          “Registration Statement” means the registration statements required to be filed
hereunder and any additional registration statements contemplated by Section 3(b), including (in
each case) the Prospectus, amendments, and supplements to such registration statement or
Prospectus, including pre- and post-effective amendments, all exhibits thereto, and all material
incorporated by reference or deemed to be incorporated by reference in such registration statement.

          “Rule 415” means Rule 415 promulgated by the Commission pursuant to the Securities
Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter
adopted by the Commission having substantially the same purpose and effect as such Rule.

          “Rule 424” means Rule 424 promulgated by the Commission pursuant to the Securities
Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter
adopted by the Commission having substantially the same purpose and effect as such Rule.

          “Selling Stockholder Questionnaire” shall have the meaning set forth in Section 3(a).

     2. Shelf Registration. On or prior to each Filing Date, the Company shall prepare and
file with the Commission a “Shelf” Registration Statement covering the resale of the Registrable
Securities on such Filing Date for an offering to be made on a continuous basis pursuant to Rule
415. The Registration Statement shall be on Form S-3 (except if the Company is not then eligible
to register for resale the Registrable Securities on Form S-3, in which case such registration
shall be on another appropriate form in accordance herewith). Subject to the terms of this
Agreement, the Company shall use its best efforts to cause a Registration Statement to be declared
effective under the Securities Act as promptly as possible after the filing thereof,

2

 

but in any
event prior to the applicable Effectiveness Date, and shall use its best efforts to keep such
Registration Statement continuously effective under the Securities Act until all Registrable
Securities covered by such Registration Statement have been sold or may be sold without volume
restrictions pursuant to Rule 144(k) as determined by the counsel to the Company pursuant to a
written opinion letter to such effect, addressed and acceptable to the Company’s transfer agent and
the affected Holders (the “Effectiveness Period”). The Company shall notify the Holders
via facsimile of the effectiveness of a Registration Statement within two Trading Days of the date
that the Company telephonically confirms effectiveness with the Commission, which shall be the date
requested for effectiveness of a Registration Statement. The Company shall promptly file a Rule
424(b) prospectus with the Commission.

     3. Registration Procedures.

          In connection with the Company’s registration obligations hereunder, the Company shall:

          (a) Not less than five Trading Days prior to the filing of each Registration Statement or any
related Prospectus or any amendment or supplement thereto (including any document that would be
incorporated or deemed to be incorporated therein by reference), the Company shall, (i) furnish to
each Holder copies of all such documents proposed to be filed, which documents (other than those
incorporated or deemed to be incorporated by reference) will be subject to the review of such
Holders, and (ii) cause its officers, directors, counsel, and independent certified public
accountants to respond to such inquiries as shall be necessary, in the reasonable opinion of
respective counsel, to conduct a reasonable investigation within the meaning of the Securities Act.
The Company shall not file a Registration Statement or any such Prospectus or any amendments or
supplements thereto to which the Holders of a majority of the Registrable Securities shall
reasonably object in good faith, provided that the Company is notified of such objection in writing
no later than five Trading Days after the Holders have been so furnished copies of such documents.
Each Holder agrees to furnish to the Company a completed Questionnaire in the form attached to this
Agreement as Annex A (a “Selling Stockholder Questionnaire”) not less than two Trading Days
prior to the Filing Date or by the end of the fourth Trading Day following the date on which such
Holder receives draft materials in accordance with this Section.

          (b) (i) Prepare and file with the Commission such amendments, including post-effective
amendments, to a Registration Statement and the Prospectus used in connection therewith as may be
necessary to keep a Registration Statement continuously effective as to the applicable Registrable
Securities for the Effectiveness Period, and prepare and file with the Commission such additional
Registration Statements in order to register for resale under the Securities Act all of the
Registrable Securities; (ii) cause the related Prospectus to be amended or supplemented by any
required Prospectus supplement (subject to the terms of this Agreement), and as so supplemented or
amended to be filed pursuant to Rule 424; (iii) respond as promptly as reasonably possible to any
comments received from the Commission with respect to a Registration Statement or any amendment
thereto, and, upon request of a Holder, promptly provide the Holder true and complete copies of all
correspondence from and to the Commission relating to a Registration Statement; and (iv) comply in
all material respects with the provisions of the Securities Act and the Exchange Act with respect
to the disposition of all Registrable

3

 

Securities covered by a Registration Statement during the
applicable period in accordance with the intended methods of disposition by the Holders thereof set
forth in such Registration Statement as so amended or in such Prospectus as so supplemented.

          (c) Notify the Holders of Registrable Securities to be sold (which notice shall, pursuant to
clauses (ii) through (vi) hereof, be accompanied by an instruction to suspend the use of the
Prospectus until the requisite changes have been made) as promptly as reasonably possible (and, in
the case of (i)(A) below, not less than five Trading Days prior to such filing): (i)(A) when a
Prospectus or any Prospectus supplement or post-effective amendment to a Registration Statement is
proposed to be filed, and (B) with respect to a Registration Statement or any post-effective
amendment, when the same has become effective; (ii) of the issuance by the Commission or any other
federal or state governmental authority of any stop order suspending the effectiveness of a
Registration Statement covering any or all of the Registrable Securities or the initiation of any
Proceedings for that purpose; (iv) of the receipt by the Company of any notification with respect
to the suspension of the qualification or exemption from qualification of any of the Registrable
Securities for sale in any jurisdiction, or the initiation or threatening of any Proceeding for
such purpose; (v) of the occurrence of any event or passage of time that makes the financial
statements included in a Registration Statement ineligible for inclusion therein or any statement
made in a Registration Statement or Prospectus or any document incorporated or deemed to be
incorporated therein by reference untrue in any material respect or that requires any revisions to
a Registration Statement, Prospectus, or other document so that, in the case of a Registration
Statement or the Prospectus, as the case may be, it will not contain any untrue statement of a
material fact or omit to state any material fact required to be stated therein or necessary to make
the statements therein, in light of the circumstances under which they were made, not misleading;
and (vi) the occurrence or existence of any pending corporate development with respect to the
Company that the Company believes may be material and that, in the determination of the Company,
makes it not in the best interest of the Company to allow continued availability of a Registration
Statement or Prospectus; provided that any and all of such information shall remain confidential to
each Holder until such information otherwise becomes public, unless disclosure by a Holder is
required by law.

          (d) Use its best efforts to avoid the issuance of, or, if issued, obtain the withdrawal of (i)
any order suspending the effectiveness of a Registration Statement, or (ii) any suspension of the
qualification (or exemption from qualification) of any of the Registrable Securities for sale in
any jurisdiction, at the earliest practicable moment.

          (e) Furnish to each Holder, upon request and without charge, at least one conformed copy of
each such Registration Statement and each amendment thereto, including financial statements and
schedules, all documents incorporated or deemed to be incorporated therein by reference to the
extent requested by such Person, and all exhibits to the extent requested by such Person (including
those previously furnished or incorporated by reference) promptly after the filing of such
documents with the Commission.

          (f) Promptly deliver to each Holder, upon request and without charge, as many copies of the
Prospectus or Prospectuses (including each form of prospectus) and each amendment or supplement
thereto as such Persons may reasonably request in connection with resales by the Holder of
Registrable Securities. Subject to the terms of this Agreement, the

4

 

Company hereby consents to the
use of such Prospectus and each amendment or supplement thereto by each of the selling Holders in
connection with the offering and sale of the Registrable Securities covered by such Prospectus and
any amendment or supplement thereto, except after the giving on any notice pursuant to Section
3(c)(ii)-(vi).

          (g) If NASDR Rule 2710 requires any broker-dealer to make a filing prior to executing a sale
by a Holder, the Company shall (i) make an Issuer Filing with the NASDR, Inc. Corporate Financing
Department pursuant to proposed NASDR Rule 2710(b)(10)(A)(i), (ii) respond within five Trading Days
to any comments received from NASDR in connection therewith, and (iii) pay the filing fee required
in connection therewith.

          (h) Prior to any resale of Registrable Securities by a Holder, use its commercially reasonable
efforts to register or qualify or cooperate with the selling Holders in connection with the
registration or qualification (or exemption from the Registration or qualification) of such
Registrable Securities for the resale by the Holder under the securities or Blue Sky laws of such
jurisdictions within the United States as any Holder reasonably requests in writing, to keep each
registration or qualification (or exemption therefrom) effective during the Effectiveness Period
and to do any and all other acts or things reasonably necessary to enable the disposition in such
jurisdictions of the Registrable Securities covered by each Registration Statement; provided, that
the Company shall not be required to qualify generally to do business in any jurisdiction where it
is not then so qualified, subject the Company to any material tax in any such jurisdiction where it
is not then so subject, or file a general consent to service of process in any such jurisdiction.

          (i) If requested by the Holders, cooperate with the Holders to facilitate the timely
preparation and delivery of certificates representing Registrable Securities to be delivered to a
transferee pursuant to a Registration Statement, which certificates shall be free, to the extent
permitted by the Purchase Agreement, of all restrictive legends, and to enable such Registrable
Securities to be in such denominations and registered in such names as any such Holders may
request.

          (j) Upon the occurrence of any event contemplated by this Section 3, as promptly as reasonably
possible under the circumstances, taking into account the Company’s good faith assessment of any
adverse consequences to the Company and its stockholders of the premature disclosure of such event,
prepare a supplement or amendment, including a post-effective amendment, to a Registration
Statement or a supplement to the related Prospectus or any document incorporated or deemed to be
incorporated therein by reference, and file any other required document so that, as thereafter
delivered, neither a Registration Statement nor such Prospectus will contain an untrue statement of
a material fact or omit to state a material fact required to be stated therein or necessary to make
the statements therein, in light of the circumstances under which they were made, not misleading.
If the Company notifies the Holders in accordance with clauses (ii) through (vi) of Section 3(c)
above to suspend the use of any Prospectus until the requisite changes to such Prospectus have been
made, then the Holders shall suspend use of such Prospectus. The Company will use its best efforts
to ensure that the use of the Prospectus may be resumed as promptly as is practicable. The Company
shall be entitled to exercise its right under this Section 3(j) to suspend the availability of a
Registration

5

 

Statement and Prospectus for a period not to exceed 60 days (which need not be
consecutive days) in any 12 month period.

          (k) Comply with all applicable rules and regulations of the Commission.

          (l) The Company may require each selling Holder to furnish to the Company a certified
statement as to the number of shares of Common Stock beneficially owned by such Holder and, if
required by the Commission, the person thereof that has voting and dispositive control over the
Shares.

     4. Registration Expenses. All fees and expenses incident to the performance of or
compliance with this Agreement by the Company shall be borne by the Company whether or not any
Registrable Securities are sold pursuant to a Registration Statement. The fees and expenses
referred to in the foregoing sentence shall include, without limitation, (i) all registration and
filing fees (including, without limitation, fees and expenses (A) with respect to filings required
to be made with the Trading Market on which the Common Stock is then listed for trading, (B) in
compliance with applicable state securities or Blue Sky laws reasonably agreed to by the Company in
writing (including, without limitation, fees and disbursements of counsel for the Company in
connection with Blue Sky qualifications or exemptions of the Registrable Securities and
determination of the eligibility of the Registrable Securities for investment under the laws of
such jurisdictions as requested by the Holders), and (C) if not previously paid by the Company in
connection with an Issuer Filing, with respect to any filing that may be required to be made by any
broker through which a Holder intends to make sales of Registrable Securities with NASD Regulation,
Inc. pursuant to the NASD Rule 2710, so long as the broker is receiving no more than a customary
brokerage commission in connection with such sale, (ii) printing expenses (including, without
limitation, expenses of printing certificates for Registrable Securities and of printing
prospectuses if the printing of prospectuses is reasonably requested by the holders of a majority
of the Registrable Securities included in a Registration Statement), (iii) messenger, telephone,
and delivery expenses, (iv) fees and disbursements of counsel for the Company, (v) Securities Act
liability insurance, if the Company so desires such insurance, and (vi) fees and expenses of all
other Persons retained by the Company in connection with the consummation of the transactions
contemplated by this Agreement. In addition, the Company shall be responsible for all of its
internal expenses incurred in connection with the consummation of the transactions contemplated by
this Agreement (including, without limitation, all salaries and expenses of its officers and
employees performing legal or accounting duties), the expense of any annual audit and the fees and
expenses incurred in connection with the listing of the Registrable Securities on any securities
exchange as required hereunder. In no event shall the Company be responsible for any broker or
similar commissions or, except to the extent provided for in the Transaction Documents, any legal
fees or other costs of the Holders.

     5. Indemnification.

          (a) Indemnification by the Company. The Company shall, notwithstanding any
termination of this Agreement, indemnify and hold harmless each Holder, the officers, directors,
members, partners, agents, brokers (including brokers who offer and sell Registrable Securities as
principal as a result of a pledge or any failure to perform under a margin call of Common Stock),
investment advisors, and employees (and any other Persons with a functionally

6

 

equivalent role of a
Person holding such titles, notwithstanding a lack of such title or any other title) of each of
them, each Person who controls any such Holder (within the meaning of Section 15 of the Securities
Act or Section 20 of the Exchange Act) and the officers, directors, members, partners, agents, and
employees (and any other Persons with a functionally equivalent role of a Person holding such
titles, notwithstanding a lack of such title or any other title) of each such controlling Person,
to the fullest extent permitted by applicable law, from and against any and all losses, claims,
damages, liabilities, costs (including, without limitation, reasonable attorneys’ fees), and
expenses (collectively, “Losses”), as incurred, arising out of or relating to (1) any
untrue or alleged untrue statement of a material fact contained in a Registration Statement, any
Prospectus or any form of prospectus or in any amendment or supplement thereto or in any
preliminary prospectus, or arising out of or relating to any omission or alleged omission of a
material fact required to be stated therein or necessary to make the statements therein (in the
case of any Prospectus or form of prospectus or supplement thereto, in light of the circumstances
under which they were made) not misleading, or (2) any violation or alleged violation by the
Company of the Securities Act, Exchange Act or any state securities law, or any rule or regulation
thereunder, in connection with the performance of its obligations under this Agreement, except to
the extent, but only to the extent, that (i) such untrue statements or omissions are based solely
upon information regarding such Holder furnished in writing to the Company by such Holder expressly
for use therein, or to the extent that such information relates to such Holder or such Holder’s
proposed method of distribution of Registrable Securities and was reviewed and expressly approved
in writing by such Holder expressly for use in a Registration Statement, such Prospectus or such
form of Prospectus or in any amendment or supplement thereto, or (ii) in the case of an occurrence
of an event of the type specified in Section 3(c)(ii)-(vi), the use by such Holder of an outdated
or defective Prospectus after the Company has notified such Holder in writing that the Prospectus
is outdated or defective and prior to the receipt by such Holder of the Advice contemplated in
Section 6(c). The Company shall notify the Holders promptly of the institution, threat or
assertion of any Proceeding arising from or in connection with the transactions contemplated by
this Agreement of which the Company is aware.

          (b) Indemnification by Holders. Each Holder shall, severally and not jointly,
indemnify and hold harmless the Company, its directors, officers, agents, and employees, each
Person who controls the Company (within the meaning of Section 15 of the Securities Act and Section
20 of the Exchange Act), and the directors, officers, agents, or employees of such controlling
Persons, to the fullest extent permitted by applicable law, from and against all Losses, as
incurred, to the extent arising out of or based solely upon: (i) such Holder’s failure to comply
with the prospectus delivery requirements of the Securities Act, or (ii) any untrue or alleged
untrue statement of a material fact contained in any Registration Statement, any Prospectus, or any
form of prospectus, or in any amendment or supplement thereto or in any preliminary prospectus, or
arising out of or relating to any omission or alleged omission of a material fact required to be
stated therein or necessary to make the statements therein not misleading (x) to the extent, but
only to the extent, that such untrue statement or omission is contained in any information so
furnished in writing by such Holder to the Company specifically for inclusion in such Registration
Statement or such Prospectus or (y) to the extent that (1) such untrue statements or omissions are
based solely upon information regarding such Holder furnished in writing to the Company by such
Holder expressly for use therein, or to the extent that such information relates to such Holder or
such Holder’s proposed method of distribution of

7

 

Registrable Securities and was reviewed and
expressly approved in writing by such Holder expressly for use in a Registration Statement, such
Prospectus or such form of Prospectus or in any amendment or supplement thereto, or (2) in the case
of an occurrence of an event of the type specified in Section 3(c)(ii)-(vi), the use by such Holder
of an outdated or defective Prospectus after the Company has notified such Holder in writing that
the Prospectus is outdated or defective and prior to the receipt by such Holder of the Advice
contemplated in Section 6(c). In no event shall the liability of any selling Holder hereunder be
greater in amount than the dollar amount of the net proceeds received by such Holder upon the sale
of the Registrable Securities giving rise to such indemnification obligation.

          (c) Conduct of Indemnification Proceedings. If any Proceeding shall be brought or
asserted against any Person entitled to indemnity hereunder (an “Indemnified Party”), such
Indemnified Party shall promptly notify the Person from whom indemnity is sought (the
“Indemnifying Party”) in writing, and the Indemnifying Party shall have the right to assume
the defense thereof, including the employment of counsel reasonably satisfactory to the Indemnified
Party and the payment of all fees and expenses incurred in connection with defense thereof;
provided, that the failure of any Indemnified Party to give such notice shall not relieve the
Indemnifying Party of its obligations or liabilities pursuant to this Agreement, except (and only)
to the extent that it shall be finally determined by a court of competent jurisdiction (which
determination is not subject to appeal or further review) that such failure shall have prejudiced
the Indemnifying Party.

               An Indemnified Party shall have the right to employ separate counsel in any such Proceeding
and to participate in the defense thereof, but the fees and expenses of such counsel shall be at
the expense of such Indemnified Party or Parties unless: (1) the Indemnifying Party has agreed in
writing to pay such fees and expenses; (2) the Indemnifying Party shall have failed promptly to
assume the defense of such Proceeding and to employ counsel reasonably satisfactory to such
Indemnified Party in any such Proceeding; or (3) the named parties to any such Proceeding
(including any impleaded parties) include both such Indemnified Party and the Indemnifying Party,
and such Indemnified Party shall reasonably believe that a material conflict of interest is likely
to exist if the same counsel were to represent such Indemnified Party and the Indemnifying Party
(in which case, if such Indemnified Party notifies the Indemnifying Party in writing that it elects
to employ separate counsel at the expense of the Indemnifying Party, the Indemnifying Party shall
not have the right to assume the defense thereof and the reasonable fees and expenses of one
separate counsel shall be at the expense of the Indemnifying Party). The Indemnifying Party shall
not be liable for any settlement of any such Proceeding effected without its written consent, which
consent shall not be unreasonably withheld. No Indemnifying Party shall, without the prior written
consent of the Indemnified Party, effect any settlement of any pending Proceeding in respect of
which any Indemnified Party is a party, unless such settlement includes an unconditional release of
such Indemnified Party from all liability on claims that are the subject matter of such Proceeding.

               Subject to the terms of this Agreement, all reasonable fees and expenses of the Indemnified
Party (including reasonable fees and expenses to the extent incurred in connection with
investigating or preparing to defend such Proceeding in a manner not inconsistent with this
Section) shall be paid to the Indemnified Party, as incurred, within ten Trading Days of written
notice thereof to the Indemnifying Party; provided, that the Indemnified

8

 

Party shall
promptly reimburse the Indemnifying Party for that portion of such fees and expenses applicable to
such actions for which such Indemnified Party is not entitled to indemnification hereunder,
determined based upon the relative faults of the parties.

          (d) Contribution. If the indemnification under Section 5(a) or 5(b) is unavailable to
an Indemnified Party or insufficient to hold an Indemnified Party harmless for any Losses, then
each Indemnifying Party shall contribute to the amount paid or payable by such Indemnified Party,
in such proportion as is appropriate to reflect the relative fault of the Indemnifying Party and
Indemnified Party in connection with the actions, statements, or omissions that resulted in such
Losses as well as any other relevant equitable considerations. The relative fault of such
Indemnifying Party and Indemnified Party shall be determined by reference to, among other things,
whether any action in question, including any untrue or alleged untrue statement of a material fact
or omission or alleged omission of a material fact, has been taken or made by, or relates to
information supplied by, such Indemnifying Party or Indemnified Party, and the parties’ relative
intent, knowledge, access to information and opportunity to correct or prevent such action,
statement or omission. The amount paid or payable by a party as a result of any Losses shall be
deemed to include, subject to the limitations set forth in this Agreement, any reasonable
attorneys’ or other reasonable fees or expenses incurred by such party in connection with any
Proceeding to the extent such party would have been indemnified for such fees or expenses if the
indemnification provided for in this Section was available to such party in accordance with its
terms.

          The parties hereto agree that it would not be just and equitable if contribution pursuant to
this Section 5(d) were determined by pro rata allocation or by any other method of allocation that
does not take into account the equitable considerations referred to in the immediately preceding
paragraph. Notwithstanding the provisions of this Section 5(d), no Holder shall be required to
contribute, in the aggregate, any amount in excess of the amount by which the proceeds actually
received by such Holder from the sale of the Registrable Securities subject to the Proceeding
exceeds the amount of any damages that such Holder has otherwise been required to pay by reason of
such untrue or alleged untrue statement or omission or alleged omission, except in the case of
fraud by such Holder.

          The indemnity and contribution agreements contained in this Section are in addition to any
liability that the Indemnifying Parties may have to the Indemnified Parties.

     6. Miscellaneous.

          (a) Remedies. In the event of a breach by the Company or by a Holder, of any of their
obligations under this Agreement, each Holder or the Company, as the case may be, in addition to
being entitled to exercise all rights granted by law and under this Agreement, including recovery
of damages, will be entitled to specific performance of its rights under this Agreement. The
Company and each Holder agree that monetary damages would not provide adequate compensation for any
losses incurred by reason of a breach by it of any of the provisions of this Agreement and hereby
further agree that, in the event of any action for specific performance in respect of such breach,
it shall waive the defense that a remedy at law would be adequate.

9

 

          (b) Compliance. Each Holder covenants and agrees that it will comply with the
prospectus delivery requirements of the Securities Act as applicable to it in connection with sales
of Registrable Securities pursuant to a Registration Statement.

          (c) Discontinued Disposition. Each Holder agrees by its acquisition of such
Registrable Securities that, upon receipt of a notice from the Company of the occurrence of any
event of the kind described in Section 3(c)(ii)-(vi), such Holder will forthwith discontinue
disposition of such Registrable Securities under a Registration Statement until such Holder’s
receipt of the copies of the supplemented Prospectus and/or amended Registration Statement or until
it is advised in writing (the “Advice”) by the Company that the use of the applicable
Prospectus may be resumed, and, in either case, has received copies of any additional or
supplemental filings that are incorporated or deemed to be incorporated by reference in such
Prospectus or Registration Statement. The Company will use its reasonable best efforts to ensure
that the use of the Prospectus may be resumed as promptly as it practicable.

          (d) Piggy-Back Registrations. If at any time during the Effectiveness Period there is
not an effective Registration Statement covering all of the Registrable Securities and the Company
shall determine to prepare and file with the Commission a registration statement relating to an
offering for its own account or the account of others under the Securities Act of any of its equity
securities, other than on Form S-4 or Form S-8 (each as promulgated under the Securities Act) or
their then equivalents relating to equity securities to be issued solely in connection with any
acquisition of any entity or business or equity securities issuable in connection with the stock
option or other employee benefit plans, then the Company shall send to each Holder a written notice
of such determination and if, within fifteen days after the date of such notice, any such Holder
shall so request in writing, the Company shall include in such registration statement all or any
part of such Registrable Securities such Holder requests to be registered; provided,
however, that, the Company shall not be required to register any Registrable Securities
pursuant to this Section 6(d) that are eligible for resale pursuant to Rule 144(k) promulgated
under the Securities Act or that are the subject of a then effective Registration Statement.

          (e) Amendments and Waivers. The provisions of this Agreement, including the provisions
of this sentence, may not be amended, modified, or supplemented, and waivers or consents to
departures from the provisions hereof may not be given, unless the same shall be in writing and
signed by the Company and each Holder of the then outstanding Registrable Securities.
Notwithstanding the foregoing, a waiver or consent to depart from the provisions hereof with
respect to a matter that relates exclusively to the rights of Holders and that does not directly or
indirectly affect the rights of other Holders may be given by Holders of all of the Registrable
Securities to which such waiver or consent relates; provided, however, that the
provisions of this sentence may not be amended, modified, or supplemented except in accordance with
the provisions of the immediately preceding sentence.

          (f) Notices. Any and all notices or other communications or deliveries required or
permitted to be provided hereunder shall be delivered as set forth in the Purchase Agreement.

10

 

          (g) Successors and Assigns. This Agreement shall inure to the benefit of and be
binding upon the successors and permitted assigns of each of the parties and shall inure to the
benefit of each Holder. The Company may not assign its rights or obligations hereunder without the
prior written consent of all of the Holders of the then-outstanding Registrable Securities. Each
Holder may assign their respective rights hereunder in the manner and to the Persons as permitted
under the Purchase Agreement.

          (h) No Inconsistent Agreements. Neither the Company nor any of its subsidiaries has
entered, as of the date hereof, nor shall the Company or any of its subsidiaries, on or after the
date of this Agreement, enter into any agreement with respect to its securities, that would have
the effect of impairing the rights granted to the Holders in this Agreement or otherwise conflicts
with the provisions hereof.

          (i) Execution and Counterparts. This Agreement may be executed in any number of
counterparts, each of which when so executed shall be deemed to be an original and, all of which
taken together shall constitute one and the same Agreement. In the event that any signature is
delivered by facsimile transmission, such signature shall create a valid binding obligation of the
party executing (or on whose behalf such signature is executed) the same with the same force and
effect as if such facsimile signature were the original thereof.

          (j) Governing Law. All questions concerning the construction, validity, enforcement
and interpretation of this Agreement shall be determined in accordance with the provisions of the
Purchase Agreement.

          (k) Cumulative Remedies. The remedies provided herein are cumulative and not
exclusive of any remedies provided by law.

          (l) Severability. If any term, provision, covenant, or restriction of this Agreement
is held by a court of competent jurisdiction to be invalid, illegal, void, or unenforceable, the
remainder of the terms, provisions, covenants, and restrictions set forth herein shall remain in
full force and effect and shall in no way be affected, impaired, or invalidated, and the parties
hereto shall use their commercially reasonable efforts to find and employ an alternative means to
achieve the same or substantially the same result as that contemplated by such term, provision,
covenant or restriction. It is hereby stipulated and declared to be the intention of the parties
that they would have executed the remaining terms, provisions, covenants and restrictions without
including any of such that may be hereafter declared invalid, illegal, void, or unenforceable.

          (m) Headings. The headings in this Agreement are for convenience of reference only
and shall not limit or otherwise affect the meaning hereof.

          (n) Independent Nature of Holders’ Obligations and Rights. The obligations of each
Holder hereunder are several and not joint with the obligations of any other Holder hereunder, and
no Holder shall be responsible in any way for the performance of the obligations of any other
Holder hereunder. Nothing contained herein or in any other agreement or document delivered at any
closing, and no action taken by any Holder pursuant hereto or thereto, shall be deemed to
constitute the Holders as a partnership, an association, a joint venture or any other

11

 

kind of
entity, or create a presumption that the Holders are in any way acting in concert with respect to
such obligations or the transactions contemplated by this Agreement. Each Holder shall be entitled
to protect and enforce its rights, including without limitation the rights arising out of this
Agreement, and it shall not be necessary for any other Holder to be joined as an additional party
in any proceeding for such purpose.

[Remainder of page intentionally left blank.]

12

 

          IN WITNESS WHEREOF, the parties have executed this Registration Rights Agreement as of the
date first written above.

	 	 	 	 	 
	 	SYNTAX-BRILLIAN CORPORATION

 	 
	 	By:  	/s/ Wayne A. Pratt
 	 
	 	 	Name:  	Wayne A. Pratt 	 
	 	 	Title:  	Chief Financial Officer 	 
	 

[SIGNATURE PAGE FOR HOLDERS FOLLOWS]

13

 

HOLDER SIGNATURE PAGE TO

TO SYNTAX-BRILLIAN CORPORATION REGISTRATION RIGHTS AGREEMENT

	 	 	 	 	 
	 

	Holder Name: 	Leader Investment Co., Ltd.
	 

	 	 	 	 

	 	 	 	 	 
	 

	 	By: 	 	/s/ Huang, Liu Hsiu-Li
	 

	 	 

	 

	 	Name: 	 	Huang, Liu Hsiu-Li
	 

	 	 

	 

	 	Title: 	 	Director
	 

	 	 

	 
	 	 	 	 
	 	 	Address for Notice:
	 
	 	 	 	 
	 	 	No. 32,
Ji-Hu Rd.
	 	 	Taipei
	 	 	Taiwan
ROC
	 	 	 
	 
	 	 	 	 
	 

	 	Email: 	 	 
	 

	 	 

	 

	 	Telephone: 	 	(02) 2657-1989
	 

	 	 

	 

	 	Facsimile: 	 	 
	 

	 	 

	 
	 	 	 	 
	 	 	With a copy to:
	 
	 	 	 	 
	 	 	Chris
Lin
	 
	 	 	 	 
	 	 	 
	 
	 	 	 	 
	 	 	 
	 
	 	 	 	 
	 	 	 
	 
	 	 	 	 
	 

	 	Email:	 	chris.k.lin@citigroup.com
	 

	 	 

	 

	 	Telephone: 	 	 
	 

	 	 

	 

	 	Facsimile:	 	 
	 

	 	 

 

 

HOLDER SIGNATURE PAGE TO

TO SYNTAX-BRILLIAN CORPORATION REGISTRATION RIGHTS AGREEMENT

	 	 	 	 	 
	 

	Holder Name: 	Jung-Jyh Wu
	 

	 	 	 	 

	 	 	 	 	 
	 

	 	By: 	 	/s/ Jung-Jyh Wu
	 

	 	 

	 

	 	Name: 	 	Jung-Jyh Wu
	 

	 	 

	 

	 	Title: 	 	 
	 

	 	 

	 
	 	 	 	 
	 	 	Address for Notice:
	 
	 	 	 	 
	 	 	No. 20,
Ta You 1st Street
	 	 	Ta
Fa Industrial District
	 	 	Koosiung Hsien
	 	 	Taiwan
ROC
	 
	 	 	 	 
	 

	 	Email:	 	john@tctech.com.tw
	 

	 	 

	 

	 	Telephone: 	 	+866-7-787-4240
	 

	 	 

	 

	 	Facsimile: 	 	+866-7-787-2493
	 

	 	 

	 
	 	 	 	 
	 	 	With a copy to:
	 
	 	 	 	 
	 	 	Chris
Lin
	 
	 	 	 	 
	 	 	 
	 
	 	 	 	 
	 	 	 
	 
	 	 	 	 
	 	 	 
	 
	 	 	 	 
	 

	 	Email:	 	chris.k.lin@citigroup.com
	 

	 	 

	 

	 	Telephone: 	 	 
	 

	 	 

	 

	 	Facsimile:	 	 
	 

	 	 

 

 

ANNEX A

Selling Securityholder Notice and Questionnaire

     The undersigned holder of shares of common stock, par value $0.001 per share (the “Common
Stock”), of Syntax-Brillian Corporation, a Delaware corporation (the “Company”), and warrants to
purchase shares of Common Stock (the “Registrable Securities”) understands that the Company has
filed or intends to file with the Securities and Exchange Commission (the “Commission”) a
registration statement on Form S-3 (the “Registration Statement”) for the registration and resale
under Rule 415 of the Securities Act of 1933, as amended (the “Securities Act”), of the Registrable
Securities, in accordance with the terms of the Registration Rights Agreement, dated as of December
___, 2006 (the “Registration Rights Agreement”), among the Company and the Purchasers named therein.
A copy of the Registration Rights Agreement is available from the Company upon request at the
address set forth below. All capitalized terms not otherwise defined herein shall have the
meanings ascribed thereto in the Registration Rights Agreement.

     Certain legal consequences arise from being named as a selling securityholder in the
Registration Statement and the related prospectus. Accordingly, holders and beneficial owners of
Registrable Securities are advised to consult their own securities law counsel regarding the
consequences of being named or not being named as a selling securityholder in the Registration
Statement and the related prospectus.

     The undersigned beneficial owner (the “Selling Securityholder”) of Registrable Securities
hereby elects to include the Registrable Securities owned by it and listed below in Item 3 (unless
otherwise specified under such Item 3) in the Registration Statement.

     The undersigned hereby provides the following information to the Company and represents and
warrants that such information is accurate:

QUESTIONNAIRE

	1.	 	Name.

	 	(a)	 	Full Legal Name of Selling Securityholder:
	 
	 	(b)	 	Full Legal Name of Registered Holder (if not the same as (a) above) through
which Registrable Securities listed in Item 3 below are held:

A-1

 

	 	(c)	 	Full Legal Name of Natural Control Person (which means a natural person who
directly or indirectly alone or with others has power to vote or dispose of the
securities covered by the questionnaire):

	2.	 	Address for Notices to Selling Securityholder:

	 	 	 	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	 
	 
	 	 	 	 	 	 
	 

	 	Telephone:	 	 	 	 
	 

	 	 

	 	 
	 

	 	Fax:	 	 
	 	 
	 

	 	 

	 	 
	 

	 	Contact Person: 
	 

	 	 
	 

	 	 

	 	 
	 

	 	 	 	 

	 	 

	3.	 	Beneficial Ownership of Registrable Securities:

	 	(a)	 	Type and Principal Amount of Registrable Securities beneficially owned:

	4.	 	Broker-Dealer Status:

	 	(a)	 	Are you a broker-dealer?

o  Yes           o  No

	 	(b)	 	If “yes” to Section 4(a), did you receive your Registrable Securities as
compensation for investment banking services to the Company?

o  Yes           o  No

Note: If “no,” the Commission’s staff has indicated that you should be
identified as an underwriter in the Registration Statement.

	 	(c)	 	Are you an affiliate of a broker-dealer?

o  Yes           o  No

A-2

 

	 	(d)	 	If you are an affiliate of a broker-dealer, do you certify that you bought the
Registrable Securities in the ordinary course of business, and at the time of the
purchase of the Registrable Securities to be resold, you had no agreements or
understandings, directly or indirectly, with any person to distribute the Registrable
Securities?

o  Yes           o  No

Note: If “no,” the Commission’s staff has indicated that you should be identified as
an underwriter in the Registration Statement.

	5.	 	Beneficial Ownership of Other Securities of the Company Owned by the Selling
Securityholder.

Except as set forth below in this Item 5, the undersigned is not the beneficial or
registered owner of any securities of the Company other than the Registrable Securities
listed above in Item 3.

	 	(a)	 	Type and Amount of Other Securities beneficially owned by the Selling
Securityholder:

	6.	 	Relationships with the Company:

Except as set forth below, neither the undersigned nor any of its affiliates, officers,
directors or principal equity holders (owners of 5% of more of the equity securities of the
undersigned) has held any position or office or has had any other material relationship with
the Company (or its predecessors or affiliates) during the past three years.

State any exceptions here:

A-3

 

The undersigned agrees to promptly notify the Company of any inaccuracies or changes in the
information provided herein that may occur subsequent to the date hereof at any time while the
Registration Statement remains effective. By signing below, the undersigned consents to the
disclosure of the information contained herein in its answers to Items 1 through 6 and the
inclusion of such information in the Registration Statement and the related prospectus and any
amendments or supplements thereto. The undersigned understands that such information will be
relied upon by the Company in connection with the preparation or amendment of the Registration
Statement and the related prospectus.

     IN WITNESS WHEREOF the undersigned, by authority duly given, has caused this Questionnaire to
be executed and delivered either in person or by its duly authorized agent.

	 	 	 	 	 	 	 	 	 	 	 	 	 
	Dated:	 	 	 	 	 	Beneficial Owner:	 	 
	 	 	 

	 	 	 	 	 	 	 	 

	 
	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	By:	 	 	 	 
	 	 	 	 	 	 	 	 	 

	 

	 	 	 	 	 	 	 	Name:	 	 	 
	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Title:   	 	 	 	 
	 	 	 	 	 	 	 	 	 

PLEASE FAX A COPY OF THE COMPLETED AND EXECUTED NOTICE AND QUESTIONNAIRE, AND RETURN THE ORIGINAL
BY OVERNIGHT MAIL, TO:

Greenberg Traurig, LLP

2375 E. Camelback Road, Suite 700

Phoenix, Arizona 85016

Attn: Brain H. Blaney, Esq.

Facsimile: (602) 445-8603

A-4exv10w1

 

Exhibit 10.1

REAFFIRMATION AND SIXTH AMENDMENT TO 

AMENDED AND RESTATED CREDIT AGREEMENT

     This REAFFIRMATION AND SIXTH AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (this
“Amendment”) is dated as of November 27, 2006, and is entered into by and among ENERGY WEST,
INCORPORATED, a Montana corporation (the “Company”), LASALLE BANK NATIONAL ASSOCIATION, a national
banking association (“LaSalle”), in its capacity as the Agent for the “Banks” party to the Credit
Agreement described below (in such capacity, the “Agent”), such Banks and each other Loan Party.

     WHEREAS, the Agent, the Banks and the Company have entered into that certain Amended and
Restated Credit Agreement dated as of March 31, 2004 (as such agreement has been and may hereafter
be amended, restated, supplemented or otherwise modified from time to time, the “Credit
Agreement”); and

     WHEREAS, the Company has requested that the Credit Agreement be amended as set forth herein
and the Agent and the Banks are, subject to the terms hereof, willing to so amend the Credit
Agreement.

     NOW THEREFORE, in consideration of the mutual conditions and agreements set forth in the
Credit Agreement and this Amendment, and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:

     1. Definitions. Capitalized terms used in this Amendment, unless otherwise defined
herein, shall have the meaning ascribed to such terms in the Credit Agreement.

     2. Amendments to Credit Agreement. Subject to satisfaction of the conditions set
forth in Section 4 below, the Credit Agreement is hereby amended as follows:

          (a) the definitions of “Base Rate Margin”, “Commitment Fee Rate”, “L/C Fee Rate”, “Libor
Margin” and “Revolving Commitment Amount” appearing in Section 1.1 of the Credit Agreement are
hereby deleted in their entirety and the following definitions are hereby substituted therefor:

“ ‘Base Rate Margin’ means: (i) with respect to Term Loan A, one percent (1.00%) per
annum; and (ii) with respect to Revolving Loans, one half percent (0.50%) per
annum.”;

“ ‘L/C Fee Rate’ means a rate of interest equal to one and one half percent (1.50%)
per annum.”;

 

 

“ ‘LIBOR Margin’ means: (i) with respect to Term Loan A, two percent (2.00%) per
annum; and (ii) with respect to Revolving Loans, one and one half percent (1.50%)
per annum.” and

“ ‘Revolving Commitment Amount’ means $20,000,000.00, as reduced from time to time
pursuant to Section 6.1.”

          (b) the date of “November 27, 2006” appearing in the definition of “Revolving Termination
Date” in Section 1.1 of the Credit Agreement is hereby deleted in its entirety and the date
“November 26, 2007” is hereby substituted therefor;

          (c) the following definitions of “Permitted Acquisitions” and “Target” are hereby added to
Section 1.1 of the Credit Agreement in the correct alphabetical order:

“ “Permitted Acquisition” means any Acquisition by (i) the Company or any Wholly-Owned
Subsidiary of the Company which is a domestic Subsidiary of substantially all of the assets
of a Target, which assets are located in the United States or (ii) a Borrower or any
Wholly-Owned Subsidiary of a Borrower which is a Domestic Subsidiary of 100% of the Stock
and Stock Equivalents of a Target incorporated under the laws of any State in the United
States or the District of Columbia to the extent that each of the following conditions shall
have been satisfied:

     (a) to the extent the Acquisition will be financed in whole or in part with the
proceeds of any Loan, the conditions to such Loan set forth herein shall have been
satisfied;

     (b) the Company shall have furnished to the Agent and Banks at least ten (10) Business
Days prior to the consummation of such Acquisition (1) such other information and documents
regarding the Acquisition that the Agent may reasonably request, including, without
limitation, executed counterparts of the respective agreements, documents or instruments
pursuant to which such Acquisition is to be consummated, (2) pro forma financial statements
of the Company and its Subsidiaries after giving effect to the consummation of such
Acquisition, and (3) a certificate of a responsible officer of the Company demonstrating on
a pro forma basis compliance with the covenants set forth in Section 10.6 hereof after
giving effect to the consummation of such Acquisition;

     (c) the Company and its Subsidiaries (including any new Subsidiary) shall execute and
deliver the agreements, instruments and other documents required by Section 10.14 and the
Agent shall have received, for the benefit of the Secured Parties, a collateral assignment
of the seller’s representations, warranties and indemnities to the Borrowers or any of their
Subsidiaries under the acquisition documents;

     (d) such Acquisition shall not be hostile and shall have been approved by the board of
directors (or other similar body) and/or the stockholders or other equityholders of the
Target;

2

 

     (e) no Default or Event of Default shall then exist or would exist after giving effect
thereto;

     (f) the total consideration paid or payable (including without limitation, any deferred
payment) for all Acquisitions consummated during the term of this Agreement shall not exceed
$2,000,000 in the aggregate for all such Acquisitions; and

     (g) the Target has EBITDA, subject to proforma adjustments acceptable to the Agent, for
the most recent four quarters prior to the acquisition date for which financial statements
are available, greater than zero [consider whether BMR should be required]”

“ ‘Target’ means any other Person or business unit or asset group of any other Person
acquired or proposed to be acquired in an Acquisition.”

          (d) the term “$6,000,000” appearing in Section 2.1.3(b)(i) of the Credit Agreement is hereby
deleted in its entirety and the term “$-0-” is hereby substituted therefor;

          (e) Schedule 2.1 to the Credit Agreement is hereby deleted in its entirety and Schedule 2.1
attached hereto as Exhibit A is hereby substituted therefor; and

          (f) Section 6.1.3 of the Credit Agreement is hereby deleted in its entirety and the following
language is hereby substituted therefor:

“ 6.1.3 All Reductions of the Revolving Commitment Amount. All reductions
of the Revolving Commitment Amount shall reduce the Revolving Commitments pro rata
among the Banks according to their respective Pro Rata Shares.”;

          (g) Section 10.6.3 of the Credit Agreement is hereby deleted in its entirety and the following
language is hereby substituted therefor;

“ 10.6.3 Reserved.”;

          (h) The following language is hereby added to Section 10.21 of the Credit Agreement as new
clause (h) thereof:

“ (h) Permitted Acquisitions;”;

          (i) the following proviso is hereby added to the last sentence of Section 10.11 of the Credit
Agreement:

“; provided, however, if and solely to the extent (i) such disposition or
dispositions are conducted pursuant to documentation in form and substance reasonably
satisfactory to the Agent, (ii) the proceeds of such disposition are applied as a mandatory
prepayment against the Loans in the manner required by the terms of the Credit Agreement,
(iii) no Default or Event of Default is then existing or shall arise as a result thereof,
and (iv) a certificate of a responsible officer of the Company demonstrating on a pro forma
basis compliance with the covenants set forth in Section 10.6 hereof after giving effect to
the

3

 

consummation of such disposition or dispositions, the Company and its Subsidiaries shall not
be prohibited from disposing of its assets relating to ‘Arizona propane’ operations”;

          (j) Section 10.26 of the Credit Agreement is hereby deleted in its entirety and the following
language is hereby substituted therefor;

“ 10.26 Reserved.”;

          (k) Section 12.1.13 of the Credit Agreement is hereby deleted in its entirety and the
following language is hereby substituted therefor:

“ 12.1.13 Management. A period of ninety (90) consecutive days shall have elapsed
during which David A. Cerotzke is a not senior officer of the Company actively involved with
the management of the Company and its Subsidiaries, for any reason, unless prior to the
expiration of such period, a replacement officer in respect of him satisfactory to the Agent
in its sole discretion shall have been appointed and employed by the Company.”;

          (l) references to Section 10.6.3 of the Credit Agreement and “Maximum VaR and Open Positions”
appearing in Exhibit B to the Credit Agreement are hereby deleted in their respective entireties;
and

          (m) as a result of the indefeasible repayment in full of Term Loan B by the Company pursuant
to the terms of the Credit Agreement, which the Company hereby represents and warrants has
occurred, all references in the Credit Agreement and the other Loan Documents to “Term Loan B” are
hereby deleted in their respective entireties, all references to the “Term Loans” shall instead be
deemed references to “Term Loan A”; provided, however, if and to the extent all or any
portion of the payments made by the Company or any other Person to Agent or any of the Banks are
invalidated, declared to be fraudulent or preferential, set aside and/or required to be repaid to a
trustee, receiver or any other party under any bankruptcy law, state or federal law, common law or
equitable cause, then the amendments to the Credit Agreement and other Loan Documents contained in
this Section 2(f) shall be deemed rescinded and void ab initio.

     3. Ratification; No Defenses; Waiver.

          (a) Obligations. All references in the Loan Documents to the “Obligations” or any
other obligations, liabilities or indebtedness of the Company or any other Loan Party owing from
time to time and at any time to Agent and the Banks shall be deemed to refer to, without
limitation, the “Obligations” of the Obligors under, pursuant to and as defined in the Credit
Agreement, as amended by this Amendment. All references in the Loan Documents to the “Credit
Agreement” shall be deemed to refer to the Credit Agreement, as amended by this Amendment.

          (b) Ratification. In connection with the execution and delivery of this Amendment,
the Company and each Loan Party, as borrower, debtor, grantor, mortgagor, pledgor, guarantor or
assignor, or in any other similar capacities in which such Person grants

4

 

Liens or security interests in its Property or otherwise acts as an accommodation party or
guarantor, as the case may be, in any case under the Loan Documents, hereby (i) acknowledges,
ratifies and reaffirms all of its payment, performance and observance obligations and liabilities,
whether contingent or otherwise, under each of such Loan Documents, to which it is a party, and
(ii) to the extent such Person granted Liens on or security interests in any of its Property
pursuant to any such Loan Documents as security for the obligations, liabilities and indebtedness
of such Person under or with respect to the Loan Documents (the “Liabilities”), ratifies and
reaffirms such grant of security and confirms and agrees that such Liens and security interests
hereafter secure all of the Liabilities of such Person and the other Loan Parties, as applicable,
under the Loan Documents, as amended hereby, in each case including, without limitation, all
additional obligations, indebtedness and liabilities resulting from this Amendment, and as if each
reference in such Loan Documents, as amended hereby, to the obligations, indebtedness and
liabilities secured thereby are construed hereafter to mean and refer to such obligations,
indebtedness and liabilities under Credit Agreement and the other Loan Documents, as amended
hereby. By executing this Amendment, the Company and each other Loan Party hereby further
ratifies, acknowledges, affirms and reconfirms that each Loan Document, as amended hereby,
constitutes a legal, valid and binding obligation of such Person enforceable against such Person in
accordance with its terms, and that each such Loan Document, as amended hereby, is in full force
and effect.

          (c) No Defenses. The Company and each other Loan Party hereby represent and warrant
to, and covenant with the Agent and the Banks that as of the date hereof: (i) neither Company nor
any other Loan Party has any defenses, offsets or counterclaims of any kind or nature whatsoever
against the Agent or any Bank with respect to any of the loans or other financial accommodations
made under any of the Loan Documents or any of the Loan Documents themselves, or any action
previously taken or not taken by the Agent or any of the Banks with respect thereto, and (ii) the
Agent and the Banks have fully performed all obligations to the Company and each other Loan Party
which they may have had or have on and of the date hereof.

          (d) Waiver. The Company and each other Loan Party, on its own behalf and on behalf of
its representatives, partners, agents, employees, servants, officers, directors, shareholders,
subsidiaries, affiliated and related companies, successors and assigns (collectively, the “Obligor
Group”), hereby releases and forever discharges the Agent, the Banks, and their respective
officers, directors, subsidiaries, affiliated and related companies, agents, servants, employees,
shareholders, representatives, successors, assigns, attorneys, accountants, assets and properties,
as the case may be (collectively, the “Bank Indemnified Group”), of and from all manner of actions,
cause and causes of action, suits, debts, sums of money, accounts, reckonings, bonds, bills,
specialities, covenants, contracts, controversies, agreements, promises, obligations, liabilities,
costs, expenses, losses, damages, judgments, executions, claims and demands of whatsoever kind or
nature, in law or in equity, whether known or unknown, concealed or hidden, foreseen or unforeseen,
contingent or actual, liquidated or unliquidated, arising out of or relating to the Loan Documents
or any of the agreements, documents and instruments executed and delivered in connection therewith
or any related matter, cause or thing or any transaction contemplated thereby, that any of the
Obligor Group, jointly or severally, has had, now has or hereafter can, shall or may have against
the Bank Indemnified Group, or any member thereof, directly or indirectly, whether known or
unknown, through the date hereof.

5

 

     4. Conditions. The effectiveness of this Amendment is subject to the following
conditions precedent:

          (a) the Company, each other Loan Party and each Bank shall have executed and delivered this
Amendment and such other documents and instruments as the Agent may reasonably require;

          (b) the Company shall have delivered, or caused to be delivered, to Agent, a certificate of
the corporate secretary or assistant corporate secretary of each Loan Party pursuant to which such
secretary or assistant secretary, on behalf of such Loan Party certifies as to (x) the incumbency
and signature of the Persons executing this Amendment and any other Loan Documents delivered in
connection herewith on behalf of such Loan Party, (y) resolutions, which shall be attached thereto,
authorizing the execution, delivery and performance of this Amendment and such Loan Documents by
such Loan Party, and (z) the fact that the articles of incorporation, articles of organization,
bylaws, limited liability company agreement or other organizational documents of such Loan Party
have not been amended, modified or supplemented since the date on which certified copies thereof
previously were delivered to Agent under the Loan Documents, and remain in full force and effect;

          (c) the Company shall have delivered, or caused to be delivered, to Agent, with respect to
each Loan Party, a recent certificate of good standing issued by the Secretary of State of such
Loan Party’s jurisdiction of incorporation;

          (d) the representations and warranties set forth in Section 5 of this Amendment shall
be true and correct;

          (e) the Agent shall have received written opinions of law of counsel to the Company and its
Subsidiaries, all in form and substance and covering such subject matter as is satisfactory to
Agent and its counsel and dated as of a date satisfactory to Agent;

          (f) each Bank shall have received from the Company a fully-executed Note which reflects, in a
face principal amount equal to the sum of such Bank’s Pro Rata Share of the Revolving Commitment
Amount plus the principal amount of such Bank’s Term Loan A;

          (g) the Agent shall have received from the Company a Solvency Certificate, substantially in
the form provided and approved by Agent, executed by a Responsible Officer of the Company that,
among other things, certifies the Company and its Subsidiaries (each individually and together) are
and, both before and after giving effect to the terms of this Amendment will continue to be,
Solvent;

          (h) the Agent shall have received from the Company projected income statements, balance sheets
and cash flow statements for fiscal years 2007, 2008 and 2009, in each case prepared by the Company
and giving pro forma effect to the transactions contemplated by the terms of this Amendment and the
use of proceeds therefrom, all in form and substance satisfactory to the Bank

6

 

          (i) the Agent shall have received from the Company for the account of each Bank an upfront,
fully-earned and non-refundable administrative fee in the amount of $100,000; and

          (j) all proceedings taken in connection with the transactions contemplated by this Amendment
and all documents, instruments and other legal matters incident thereto shall be reasonably
satisfactory to the Agent and its legal counsel.

     5. Representations and Warranties. To induce the Agent and the Banks to enter into
this Amendment, the Company and each other Loan Party hereby represents and warrants to the Agent
and the Banks that:

          (a) the Company and each other Loan Party is a corporation validly existing and in good
standing under the laws of its respective state of incorporation; and the Company and each other
Loan Party is duly qualified to do business in each jurisdiction where, because of the nature of
its activities or properties, such qualification is required, except for such jurisdictions where
the failure to so qualify would not have a Material Adverse Effect;

          (b) the Company and each other Loan Party is duly authorized to execute and deliver this
Amendment, the Company is duly authorized to borrow additional Loans provided for hereunder and
each of the Company and each other Loan Party is duly authorized to perform its obligations under
each Loan Document to which it is a party, as the same are amended hereby. The execution, delivery
and performance by the Company and each other Loan Party of this Agreement, and the additional
borrowings by the Company provided for hereunder, do not and will not: (i) require any consent or
approval of any governmental agency or authority (other than any consent or approval which has been
obtained and is in full force and effect), (ii) conflict with: (A) any provision of law, (B) the
charter, bylaws or other organizational documents of the Company or any other Loan Party or (C) any
agreement, indenture, instrument or other document, or any judgment, order or decree, which is
binding upon the Company or any other Loan Party or any of their respective properties or (iii)
require, or result in, the creation or imposition of any Lien on any asset of the Company or any
other Loan Party (other than Liens in favor of the Agent created pursuant to the Collateral
Documents).

          (c) (i) the execution, delivery and performance of this Amendment has been duly authorized by
all requisite corporate action on the part of the Company and each such other Loan Party and this
Amendment has been duly executed and delivered by the Company and each other Loan Party and this
Amendment and the Credit Agreement, as amended hereby, constitute valid and binding obligations of
each of them, as applicable, enforceable in accordance with their respective terms, (ii) no Default
or Event of Default has occurred or is continuing under the Credit Agreement or would result from
the execution and delivery of this Amendment, and (iii) each of the representations and warranties
set forth in Section 9 of the Credit Agreement, as amended hereby, is true and correct in all
material respects as of the date hereof, unless any such representation or warranty is already
qualified by materiality, in which case it shall be true and correct in all respects.

     6. No Additional Term Loan Commitments. The Borrower and each other Loan Party hereby
acknowledges and agrees that nothing contained in this Amendment or any other

7

 

Loan Document creates any obligation or commitment by Agent or any Bank to loan or otherwise
advance any additional Term Loans to the Borrower, and the Borrower and each other Loan Party
further acknowledges and agrees that each of the Term Loan A and the Term Loan B were fully funded
on the Restatement Effective Date, and that no commitment on the party of Agent or any Bank to fund
any Term Loan remains outstanding, whether evidenced by this Amendment, the Credit Agreement or
otherwise.

     7. Severability. Any provision of this Amendment held by a court of competent
jurisdiction to be invalid or unenforceable shall not impair or invalidate the remainder of this
Amendment and the effect thereof shall be confined to the provision so held to be invalid or
unenforceable.

     8. References. Any reference to the Credit Agreement contained in any document,
instrument or agreement executed in connection with the Credit Agreement shall be deemed to be a
reference to the Credit Agreement as modified by this Amendment.

     9. Counterparts. This Amendment may be executed in one or more counterparts, each of
which shall constitute an original, but all of which taken together shall be one and the same
instrument. A counterpart of this Amendment delivered by facsimile or other electronic means shall
for all purposes be as effective as delivery of an original counterpart.

     10. Costs. The Company agrees to pay on demand all reasonable costs and expenses
incurred by the Agent (including fees and expenses of counsel) incurred in connection with the
negotiation and preparation of this Amendment.

     11. Governing Law. The validity and interpretation of this Amendment and the terms
and conditions set forth herein, shall be governed by and construed in accordance with the laws of
the State of Illinois, without giving effect to any provisions relating to conflict of laws that
would call for the application of the laws of another jurisdiction.

     12. Miscellaneous. This Amendment shall be deemed to be a Loan Document.

- Remainder of Page Intentionally Left Blank; Signature Page Follows -

8

 

     Delivered at Chicago, Illinois, as of the day and year first above written.

	 	 	 	 	 	 	 	 	 
	THE AGENT AND BANK:	 	 	 	OTHER LOAN PARTIES:
	 
	 	 	 	 	 	 	 	 
	LASALLE BANK, NATIONAL	 	 	 	ENERGY WEST PROPANE, INC.,
	ASSOCIATION, a national banking	 	 	 	a Montana corporation
	association, as the Agent and as a Bank	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 	/s/ David A. Cerotzke
	 

	 	 	 	 	 	 	 	 
	By:

	 	/s/ Meghan Schultz
	 	 	 	Name:
	 	David A. Cerotzke
	 

	 	 	 	 	 	 	 	 
	Name:

	 	Meghan Schultz
	 	 	 	Title:
	 	President and CEO
	Title:

	 	Assistant Vice President	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	COMPANY:	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	ENERGY WEST, INCORPORATED, a	 	 	 	ENERGY WEST RESOURCES, INC.,
	Montana corporation	 	 	 	a Montana corporation
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ David A. Cerotzke
	 	 	 	By:
	 	/s/ David A. Cerotzke
	 

	 	 
	 	 	 	 	 	 
	Name:

	 	David A. Cerotzke
	 	 	 	Name:
	 	David A. Cerotzke
	Title:

	 	President and CEO
	 	 	 	Title:
	 	President and CEO
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	ENERGY WEST DEVELOPMENT, INC.,
	 	 	 	 	 	 	a Montana corporation
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	By:
	 	/s/ David A. Cerotzke
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Name:
	 	David A. Cerotzke
	 

	 	 	 	 	 	Title:
	 	President and CEO

Reaffirmation and Sixth Amendment

 

 

Exhibit A to Reaffirmation and Sixth Amendment

BANKS AND PRO RATA SHARES

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Pro Rata Share	 	 	 	 
	 	 	of Revolving	 	 	 	 
	 	 	Commitment	 	Amount of	 	 
	Bank	 	Amount	 	Term Loan A	 	Pro Rata Share
	LaSalle Bank
National
Association
	 	$	20,000,000.00	 	 	$	6,000,000.00	 	 	 	100.000000000	%
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	TOTAL
	 	$	20,000,000.00	 	 	$	6,000,000.00	 	 	 	100.000000000	%

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}]]