Document:

Exhibit 10.1

 

	
 
    

 

FIRST AMENDMENT TO
 AMENDED AND RESTATED

CREDIT AGREEMENT

 

Dated as of May 3, 2018

 

among

 

PROTECTIVE LIFE CORPORATION, PROTECTIVE

LIFE INSURANCE COMPANY, as Borrowers

 

THE SEVERAL LENDERS FROM TIME

TO TIME PARTY HERETO

 

and

 

REGIONS BANK,
 as Administrative Agent and Swingline Lender,

 

WELLS FARGO BANK, NATIONAL ASSOCIATION and MIZUHO BANK, LTD.
 as Co-Syndication Agents,

 

REGIONS CAPITAL MARKETS,
 a Division of Regions Bank, as Joint Lead Arranger and Sole Bookrunner,

 

WELLS FARGO SECURITIES, LLC and MIZUHO BANK, LTD.,
 as Joint Lead Arrangers,

 

MORGAN STANLEY MUFG LOAN PARTNERS, LLC,
 SUMITOMO MITSUI BANKING CORPORATION,
 U.S. BANK NATIONAL ASSOCIATION and CITIBANK, N.A.

 

as Co-Documentation Agents,

 

and

 

BANK OF AMERICA, N.A., BARCLAYS BANK PLC
 COMPASS BANK, DEUTSCHE BANK SECURITIES, INC. and
 PNC BANK, NATIONAL ASSOCIATION,

 

as Senior Managing Agents

 

	
 
    

 

 

FIRST AMENDMENT TO
 AMENDED AND RESTATED CREDIT AGREEMENT

 

THIS FIRST AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT (“this Amendment”) dated as of May 3, 2018 (the “First Amendment Effective Date”) is entered into by PROTECTIVE LIFE CORPORATION, a Delaware corporation (“PLC”), PROTECTIVE LIFE INSURANCE COMPANY, a Tennessee corporation (“PLICO”; PLC and PLICO are together referred to as the “Borrowers”), REGIONS BANK, an Alabama banking corporation (“Regions”), and the various lenders identified on the signature pages hereto (collectively, the “Lenders”), and REGIONS BANK, in its capacity, as Administrative Agent for the Lenders (the “Administrative Agent”).

 

Recitals

 

A.                                    The Borrowers, the Lenders and the Administrative Agent are parties to a certain Amended and Restated Credit Agreement dated as of February 2, 2015 (as amended or supplemented from time to time, the “Credit Agreement”).  Capitalized terms used in this Amendment which are not otherwise defined in this Amendment shall have the respective meanings assigned to such terms in the Credit Agreement.

 

B.                                    The Borrowers, the Lenders and the Administrative Agent wish to amend the Credit Agreement to make certain modifications thereto set forth herein.

 

Agreement

 

NOW, THEREFORE, in consideration of the foregoing recitals and in further consideration of the mutual agreements set forth herein, the parties hereto hereby agree as follows, with such agreements to become effective as of the First Amendment Effective Date:

 

SECTION 1.                         AMENDMENTS TO THE CREDIT AGREEMENT.

 

1.1                               Amendments to Article I.  Article I is hereby amended as follows:

 

(a)                                 The following definitions are hereby deleted from Section 1.1 and replaced in their entirety as follows:

 

“Dai-ichi” means Dai-ichi Life Holdings, Inc., a corporation organized under the laws of Japan (formerly known as The Dai-ichi Life Insurance Company, Limited).

 

“Defaulting Lender” means, subject to Section 2.16.2, any Lender that (a) has failed to (i) fund all or any portion of its Loans within two (2) Business Days of the date such Loans were required to be funded hereunder unless such Lender notifies the Administrative Agent and the Borrowers in writing that such failure is the result of such Lender’s determination that one or more conditions precedent to funding (each of which conditions precedent, together with any applicable default, shall be specifically identified in such writing) has not been satisfied, or (ii) pay to the Administrative Agent, any Issuing Bank, the Swingline Lender or any other Lender any other amount required to be paid by it hereunder (including in respect of its

 

 

participation in Letters of Credit or Swingline Loans) within two (2) Business Days of the date when due, (b) has notified the Borrowers, the Administrative Agent or any Issuing Bank or the Swingline Lender in writing that it does not intend to comply with its funding obligations hereunder, or has made a public statement to that effect (unless such writing or public statement relates to such Lender’s obligation to fund a Loan hereunder and states that such position is based on such Lender’s determination that a condition precedent to funding (which condition precedent, together with any applicable default, shall be specifically identified in such writing or public statement) cannot be satisfied), (c) has failed, within three (3) Business Days after written request by the Administrative Agent or the Borrowers, to confirm in writing to the Administrative Agent and the Borrowers that it will comply with its prospective funding obligations hereunder (provided that such Lender shall cease to be a Defaulting Lender pursuant to this clause (c) upon receipt of such written confirmation by the Administrative Agent and the Borrowers), or (d) has, or has a direct or indirect parent company that has, (i) become the subject of a proceeding under any Debtor Relief Law, (ii) had appointed for it a receiver, custodian, conservator, trustee, administrator, assignee for the benefit of creditors or similar Person charged with reorganization or liquidation of its business or assets, including the Federal Deposit Insurance Corporation or any other state or federal regulatory authority acting in such a capacity or (iii) become the subject of a Bail-In Action; provided that a Lender shall not be a Defaulting Lender solely by virtue of the ownership or acquisition of any equity interest in that Lender or any direct or indirect parent company thereof by a Governmental Authority so long as such ownership interest does not result in or provide such Lender with immunity from the jurisdiction of courts within the United States or from the enforcement of judgments or writs of attachment on its assets or permit such Lender (or such Governmental Authority) to reject, repudiate, disavow or disaffirm any contracts or agreements made with such Lender.  Any determination by the Administrative Agent that a Lender is a Defaulting Lender under any one or more of clauses (a) through (d) above shall be conclusive and binding absent manifest error, and such Lender shall be deemed to be a Defaulting Lender (subject to Section 2.16.2) upon delivery of written notice of such determination to the Borrowers, each Issuing Bank, the Swingline Lender and each Lender.

 

“ERISA Event” means (i) a “reportable event” within the meaning of Section 4043 of ERISA and the regulations issued thereunder with respect to any Pension Plan (excluding those for which notice to the PBGC has been waived by regulation); (ii) the failure to meet the minimum funding standard of Section 412 of the Internal Revenue Code with respect to any Pension Plan (whether or not waived in accordance with Section 412(c) of the Internal Revenue Code), the failure to make by its due date any minimum required contribution or any required installment under Section 430(j) of the Internal Revenue Code with respect to any Pension Plan or the failure to make by its due date any required contribution to a Multiemployer Plan; (iii) the provision by the administrator of any Pension Plan pursuant to Section 4041(a)(2) of ERISA of a notice of intent to terminate such plan in a distress termination described in Section 4041(c) of ERISA; (iv) the withdrawal from any Pension Plan with two (2) or more contributing sponsors or the termination of any such Pension Plan, in either case resulting in material liability pursuant to Section 4063 or 4064 of ERISA; (v) the institution by the PBGC of proceedings to terminate any Pension Plan, or the occurrence of any event or condition reasonably likely to constitute grounds under ERISA for the termination of, or the appointment of a trustee to administer, any Pension Plan; (vi) the imposition of liability pursuant to Section 4062(a) or 4069 of ERISA or by reason of the application of Section 4212(c) of ERISA, each case reasonably likely to result in material

 

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liability; (vii) the withdrawal of any Borrower, any of its Subsidiaries or any of their respective ERISA Affiliates in a complete or partial withdrawal (within the meaning of Sections 4203 and 4205 of ERISA) from any Multiemployer Plan if such withdrawal is reasonably likely to result in material liability, or the receipt by any Borrower, any of its Subsidiaries or any of their respective ERISA Affiliates of notice from any Multiemployer Plan that it is in insolvency pursuant to Section 4241 or 4245 of ERISA, or that it is in “critical” or “endangered” status within the meaning of Section 305 of ERISA, or that it intends to terminate or has terminated under Section 4041A or 4042 of ERISA, if such insolvency or termination is reasonably likely to result in material liability; (viii) the imposition of fines, penalties, taxes or related charges under Chapter 43 of the Internal Revenue Code or under Section 409, Section 502(c), (i) or (l), or Section 4071 of ERISA in respect of any Pension Plan if such fines, penalties, taxes or related charges are reasonably likely to result in material liability; (ix) the assertion of a material claim (other than routine claims for benefits and funding obligations in the ordinary course) against any Pension Plan other than a Multiemployer Plan or the assets thereof, or against any Person in connection with any Pension Plan such Person sponsors or maintains reasonably likely to result in material liability; (x) receipt from the Internal Revenue Service of a final written determination of the failure of any Pension Plan intended to be qualified under Section 401(a) of the Internal Revenue Code to qualify under Section 401(a) of the Internal Revenue Code, or the failure of any trust forming part of any such plan to qualify for exemption from taxation under Section 501(a) of the Internal Revenue Code; or (xi) the imposition of a lien pursuant to Section 430(k) of the Internal Revenue Code or pursuant to Section 303(k) or 4068 of ERISA or any violation of Section 436 of the Internal Revenue Code or Section 206(g) of ERISA.

 

“Excluded Taxes” means any of the following Taxes imposed on or with respect to a Recipient or required to be withheld or deducted from a payment to a Recipient, (a) Taxes imposed on, determined by reference to, or measured by, net income (however denominated), franchise Taxes, and branch profits Taxes, in each case, (i) imposed as a result of such Recipient being organized under the laws of, or having an office or, in the case of any Lender, its applicable lending office located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (ii) that are Other Connection Taxes, (b) in the case of a Lender, U.S. federal withholding Taxes imposed on amounts payable to or for the account of such Lender with respect to an applicable interest in a Loan or Commitment pursuant to a law in effect on the date on which (i) such Lender acquires such interest in the Loan or Commitment (other than pursuant to an assignment request by the Borrowers under Section 2.20.2) or (ii) such Lender changes its lending office, except in each case to the extent that, pursuant to Section 2.19, amounts with respect to such Taxes were payable either to such Lender’s assignor immediately before such Lender became a party hereto or to such Lender immediately before it changed its lending office, (c) Taxes attributable to such Recipient’s failure to comply with Section 2.19.6 and (d) any withholding Taxes imposed under FATCA.

 

“FATCA” means Sections 1471 through 1474 of the Code, as of the date of this Agreement (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof, any agreements entered into pursuant to Section 1471(b)(1) of the Code and any fiscal or regulatory legislation, rules or practices adopted pursuant to any intergovernmental agreement, treaty or convention among Governmental Authorities and implementing such Sections of the Code.

 

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“Joint Arrangers” means Regions Capital Markets, a division of Regions Bank, Wells Fargo Securities, LLC and Mizuho Bank, Ltd., in their capacity as joint lead arrangers.

 

“Revolving Commitment Termination Date” means the earliest to occur of (a) May 3, 2023; (b) the date the Revolving Commitments are permanently reduced to zero pursuant to Section 2.11.2; and (c) the date of the termination of the Revolving Commitments pursuant to Section 7.1.

 

(b)                                 The definition of “Anti-Terrorism Law” is hereby deleted in its entirety.

 

(c)                                  The definition of “Fee Letters” is hereby deleted in its entirety and replaced by the following definition of “Fee Letter”, it being understood that any reference to the term Fee Letters in the Credit Agreement or any other Credit Document shall be understood to mean a reference to “Fee Letter”:

 

“Fee Letter” means that certain letter agreement dated April 6, 2018 among the Borrowers, Regions Bank and Regions Capital Markets, a division of Regions Bank.

 

(d)                                 The following definitions are hereby added, in alphabetical order, to Section 1.1:

 

“Anti-Corruption Laws” means the Foreign Corrupt Practices Act, 15 U.S.C. §§ 78dd-1, et seq., the UK Bribery Act of 2010 and all other laws, rules, and regulations of any jurisdiction applicable to each Borrower or any of its Affiliates from time to time concerning or relating to bribery or corruption.

 

“Bail-In Action” means the exercise of any Write-Down and Conversion Powers by the applicable EEA Resolution Authority in respect of any liability of an EEA Financial Institution.

 

“Bail-In Legislation” means, with respect to any EEA Member Country implementing Article 55 of Directive 2014/59/EU of the European Parliament and of the Council of the European Union, the implementing law for such EEA Member Country from time to time which is described in the EU Bail-In Legislation Schedule.

 

“Benefit Plan” means any of (a) an “employee benefit plan” (as defined in Section 3(3) of ERISA) that is subject to Title I of ERISA, (b) a “plan” to which Section 4975 of the Internal Revenue Code applies or (c) any Person whose underlying assets include “plan assets” of any such “employee benefit plan” or “plan” within the meaning of 29 CFR 2510.3-101 as modified by Section 3(42) of ERISA.

 

“EEA Financial Institution” means (a) any credit institution or investment firm established in any EEA Member Country which is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country which is a parent of an institution described in clause (a) of this definition, or (c) any financial institution established in an EEA Member Country which is a subsidiary of an institution described in clauses (a) or (b) of this definition and is subject to consolidated supervision with its parent.

 

“EEA Member Country” means any of the member states of the European Union, Iceland, Liechtenstein, and Norway.

 

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“EEA Resolution Authority” means any public administrative authority or any person entrusted with public administrative authority of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution.

 

“EU Bail-In Legislation Schedule” means the EU Bail-In Legislation Schedule published by the Loan Market Association (or any successor person), as in effect from time to time.

 

“LIBOR Replacement Rate” means as defined in Section 2.17.8.

 

“LIBOR Scheduled Unavailability Date” means as defined in Section 2.17.8.

 

“PTE” means a prohibited transaction class exemption issued by the U.S. Department of Labor, as any such exemption may be amended from time to time.

 

“Write-Down and Conversion Powers” means, with respect to any EEA Resolution Authority, the write-down and conversion powers of such EEA Resolution Authority from time to time under the Bail-In Legislation for the applicable EEA Member Country, which write-down and conversion powers are described in the EU Bail-In Legislation Schedule.

 

1.2                               Amendments to Article II.  Article II is hereby amended as follows:

 

(a)                                 Subparagraph (a) of Section 2.1.3 is hereby deleted in its entirety and replaced with the following:

 

(a)                                 the aggregate principal amount of any increases in the Revolving Commitments pursuant to this Section 2.1.3 shall not exceed Five Hundred Million Dollars ($500,000,000);

 

(b)                                 The last sentence of Section 2.16.1(d) is hereby deleted in its entirety and replaced with the following:

 

Subject to Section 10.31, no reallocation hereunder shall constitute a waiver or release of any claim of any party hereunder against a Defaulting Lender arising from that Lender having become a Defaulting Lender, including any claim of a Non-Defaulting Lender as a result of such Non-Defaulting Lender’s increased exposure following such reallocation.

 

(c)                                  Section 2.17.1 is hereby deleted in its entirety and replaced with the following:

 

2.17.1              Inability to Determine Applicable Interest Rate.  In the event that (i) the Administrative Agent shall have determined in good faith (which determination shall be final and conclusive and binding upon all parties hereto), on any Interest Rate Determination Date with respect to any LIBOR Loans, that reasonable and adequate means do not exist for ascertaining the interest rate applicable to such LIBOR Loans on the basis provided for in the definition of Adjusted LIBOR Rate or LIBOR Index Rate, as applicable, or (ii) the LIBOR Scheduled Unavailability Date has occurred and a LIBOR Replacement Rate has not been implemented pursuant to Section 2.17.8, the Administrative Agent shall on such date give notice (by telefacsimile or by telephone

 

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confirmed in writing) to the Borrowers and each Lender of such determination, whereupon (a) no Loans may be made as, or converted to, LIBOR Loans until such time as the Administrative Agent notifies the Borrowers and the Lenders that the circumstances giving rise to such notice no longer exist, provided that there shall be no effect on the availability of Base Rate Loans, which shall continue to be available but without reference to the LIBOR Index Rate component of the Base Rate, and (b) any Funding Notice or Conversion/Continuation Notice given by the Borrowers with respect to the Loans in respect of which such determination was made shall be deemed to be rescinded by the Borrowers and such Loans shall be automatically made or continued as, or converted to, as applicable, Base Rate Loans without reference to the LIBOR Index Rate component of the Base Rate.

 

(d)                                 Section 2.17.8 is hereby added and shall read as follows:

 

2.17.8                                LIBOR Replacement Rate.  Notwithstanding anything to the contrary contained in this Agreement or any other Credit Document, but without limiting Sections 2.17.1 and 2.17.2 above, if the Administrative Agent shall have reasonably determined, or the Borrowers or Required Lenders notify the Administrative Agent (with in the case of the Required Lenders, a copy to the Borrowers) that the Borrowers or Required Lenders (as applicable) shall have reasonably determined, that (i) the circumstances described in Section 2.17.1(i) have arisen and that such circumstances are unlikely to be temporary, (ii) the supervisors for the administrator of LIBOR or a Governmental Authority having jurisdiction over the Administrative Agent has made a public statement identifying a specific date after which LIBOR shall no longer be used for determining interest rates for loans in the applicable currency (such specific date, the “LIBOR Scheduled Unavailability Date”) or (iii) syndicated credit facilities among national and/or regional banks active in leading and participating in such facilities currently being executed, or that include language similar to that contained in this Section 2.17.8, are being executed or amended (as applicable) to incorporate or adopt a new interest rate to replace LIBOR for determining interest rates for loans in the applicable currency, then, reasonably promptly after such determination by the Administrative Agent or receipt by the Administrative Agent of such notice, as applicable, the Administrative Agent and the Borrowers may amend this Agreement to replace LIBOR with an alternate rate of interest, giving due consideration to any evolving or then existing convention for similar U.S. dollar denominated syndicated credit facilities for such alternative rates of interest (any such proposed rate, a “LIBOR Replacement Rate”), and make such other related changes to this Agreement and the other Credit Documents as may be necessary or appropriate, in the opinion of the Administrative Agent, to effect the provisions of this Section 2.17.8 (provided, that any definition of the LIBOR Replacement Rate shall specify that in no event shall such LIBOR Replacement Rate be less than zero for purposes of this Agreement) and any such amendment shall become effective without any further action or consent of any other party to this Agreement at 5:00 p.m. (New York time) on the fifth Business Day after the Administrative Agent shall have given notice of such proposed amendment to all Lenders unless, prior to such time, Lenders comprising the Required Lenders have delivered to the Administrative Agent written notice that such Required Lenders do not accept such amendment.  The LIBOR Replacement Rate shall be applied in a manner consistent with market practice; provided that, in each case, to the

 

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extent such market practice is not administratively feasible for the Administrative Agent, such LIBOR Replacement Rate shall be applied as otherwise reasonably determined by the Administrative Agent in consultation with the Borrower in good faith (it being understood that any such modification to application by the Administrative Agent made as so determined shall not require the consent of, or consultation with, any of the Lenders).  For the avoidance of doubt, the parties hereto agree that unless and until a LIBOR Replacement Rate is determined and an amendment to this Credit Agreement is entered into to effect the provisions of this Section 2.17.8, if the circumstances under clause (i) exist or the LIBOR Scheduled Unavailability Date has occurred and LIBOR is no longer used for determining interest rates for loans, the provisions of Section 2.17.1 shall apply.

 

(e)                                  Section 2.19.1 is hereby deleted in its entirety and replaced with the following:

 

2.19.1                                Issuing Bank.  For purposes of this Section 2.19, the term “Lender” shall include any Issuing Bank and the term “applicable law” includes FATCA.

 

1.3                               Amendments to Article IV.  Article IV is hereby amended as follows:

 

(a)                                 Section 4.9 is hereby deleted in its entirety and replaced with the following:

 

4.9.                            ERISA.  Each Plan complies in all material respects with all applicable requirements of law and regulations, and no ERISA Event has occurred or is reasonably expected to occur with respect to any Plan.  No Insufficiency exists with respect to any Plan.  Neither PLC nor any ERISA Affiliate is required to contribute to or has ever had a liability to a Multiemployer Plan.  As of the First Amendment Effective Date, no Borrower or any of its Subsidiaries are, and will not be, a Benefit Plan.

 

(b)                                 Section 4.18(d) is hereby deleted in its entirety and replaced with the following:

 

(d)                                 Each Borrower and its Subsidiaries and, to the knowledge of each Borrower and its Subsidiaries, each of their respective directors, officers, employees and Affiliates, are in compliance with Anti-Corruption Laws in all material respects.  Each Borrower and its Subsidiaries have implemented and maintains in effect policies and procedures designed to promote compliance by such Borrower, its Subsidiaries and their respective directors, officers, employees and agents with Anti-Corruption Laws.  None of the Borrowers or their respective Subsidiaries has made a payment, offering, or promise to pay, or authorized the payment of, money or anything of value (a) in order to assist in obtaining or retaining business for or with, or directing business to, any foreign official, foreign political party, party official or candidate for foreign political office, (b) to a foreign official, foreign political party or party official or any candidate for foreign political office, and (c) with the intent to induce the recipient to misuse his or her official position to direct business wrongfully to such Borrower or any of its Subsidiaries or to any other Person, in violation of any Anti-Corruption Law.  None of the Borrowers or their Subsidiaries has used any part of the proceeds of any Credit Extensions in furtherance of an offer, payment, promise to pay, or authorization of the payment or

 

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giving of money, or anything else of value, to any Person in violation of any Anti-Corruption Law.

 

(c)                                  Section 4.18(f) is hereby added and shall read as follows:

 

(f)                                   No Borrower is an EEA Financial Institution.

 

1.4                               Amendments to Article V.  Article V is hereby amended as follows:

 

(a)                                 Section 5.2 is hereby deleted in its entirety and replaced with the following:

 

5.2.                            Use of Proceeds.  The Borrowers will, and will cause each Subsidiary to, use the proceeds of any Credit Extension and to request the issuance of Letters of Credit (i) for general corporate and working capital purposes, (ii) to refinance simultaneously with the closing of this Agreement certain existing Indebtedness that the Borrowers incurred for working capital or general corporate purposes, and/or (iii) to pay transaction fees, costs and expenses related to credit facilities established pursuant to this Agreement and the other Credit Documents, in each case not in contravention of applicable Laws or of any Credit Document.  The Borrowers will not, nor will they permit any Subsidiary to, (i) use any of the proceeds of any Credit Extension to purchase or carry any “margin stock” (as defined in Regulation U) in violation of applicable Law, (ii) finance or refinance any (A) commercial paper issued by the Borrowers or (B) any other Indebtedness, except for Indebtedness that the Borrowers incurred for general corporate or working capital purposes, (iii) use any of the proceeds of any Credit Extension in furtherance of an offer, payment, promise to pay, or authorization of the payment or giving of money, or anything else of value, to any Person in violation of any Anti-Corruption Laws, or (iv) use any of the proceeds of any Credit Extension for the purpose of funding, financing or facilitating any activities, business or transaction of or with any Sanctioned Person, or in any Sanctioned Entity.

 

(b)                                 Section 5.7 is hereby deleted in its entirety and replaced with the following:

 

5.7.                            Compliance with Laws.  The Borrowers will, and will cause each Significant Subsidiary to, comply with all laws, rules, regulations, orders, writs, judgments, injunctions, decrees or awards to which it may be subject, except where the failure to so comply could not reasonably be expected to have a Material Adverse Effect.  The Borrowers will maintain in effect and enforce policies and procedures designed to promote compliance by the Borrowers, their Subsidiaries and their respective directors, officers, employees and agents (in each case, acting in their capacities as such) with Anti-Corruption Laws.

 

(c)                                  Section 5.12 is hereby deleted in its entirety and replaced with the following:

 

5.12.                     Adjusted Consolidated Net Worth.  PLC will maintain at all times Adjusted Consolidated Net Worth equal to not less than the sum of (i) 80% of PLC’s Adjusted Consolidated Net Worth as of December 31, 2017 (but in no event less than $4,500,000,000) plus (ii) 25% of its Consolidated Net Income (if positive) earned after December 31, 2017 minus (iii) PLC’s consolidated allowance for potential future losses

 

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on investments at the end of such fiscal quarter not otherwise included for unrealized net gains and losses on assets held for sale pursuant to FASB ASC 320 and accumulated other comprehensive income pursuant to FASB ASC 220 at the end of such fiscal quarter.

 

1.5                               Amendments to Article X.  Article X is hereby amended as follows:

 

(a)                                 Section 10.31 is hereby added and shall read as follows:

 

10.31                 Acknowledgement and Consent to Bail-In of EEA Financial Institutions.  Notwithstanding anything to the contrary in any Credit Document or in any other agreement, arrangement or understanding among any such parties, each party hereto acknowledges that any liability of any Lender that is an EEA Financial Institution arising under any Credit Document, to the extent such liability is unsecured, may be subject to the write-down and conversion powers of an EEA Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by (a) the application of any Write-Down and Conversion Powers by an EEA Resolution Authority to any such liabilities arising hereunder which may be payable to it by any Lender that is an EEA Financial Institution; and (b) the effects of any Bail-in Action on any such liability, including, if applicable:  (i) a reduction in full or in part or cancellation of any such liability; (ii) a conversion of all, or a portion of, such liability into shares or other instruments of ownership in such EEA Financial Institution, its parent undertaking, or a bridge institution that may be issued to it or otherwise conferred on it, and that such shares or other instruments of ownership will be accepted by it in lieu of any rights with respect to any such liability under this Agreement or any other Credit Document; or (iii) the variation of the terms of such liability in connection with the exercise of the write-down and conversion powers of any EEA Resolution Authority.

 

(b)                                 Section 10.32 is hereby added and shall read as follows:

 

10.32                 Certain ERISA Matters.

 

(a)                                 Each Lender (x) represents and warrants, as of the date such Person became a Lender party hereto, to, and (y) covenants, from the date such Person became a Lender party hereto to the date such Person ceases being a Lender party hereto, for the benefit of, the Administrative Agent and each Joint Arranger and their respective Affiliates, and not, for the avoidance of doubt, to or for the benefit of the Borrowers, that at least one of the following is and will be true:

 

(i)                                     such Lender is not using “plan assets” (within the meaning of 29 CFR §2510.3-101, as modified by Section 3(42) of ERISA) of one or more Benefit Plans in connection with the Loans, the Letters of Credit or the Commitments;

 

(ii)                                  the transaction exemption set forth in one or more PTEs, such as PTE 84-14 (a class exemption for certain transactions determined by independent qualified professional asset managers), PTE 95-60 (a class exemption for certain transactions involving insurance company general accounts), PTE 90-1 (a class

 

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exemption for certain transactions involving insurance company pooled separate accounts), PTE 91-38 (a class exemption for certain transactions involving bank collective investment funds) or PTE 96-23 (a class exemption for certain transactions determined by in-house asset managers), is applicable with respect to such Lender’s entrance into, participation in, administration of and performance of the Loans, the Letters of Credit, the Commitments and this Agreement; or

 

(iii)                               (A) such Lender is an investment fund managed by a “Qualified Professional Asset Manager” (within the meaning of Part VI of PTE 84-14), (B) such Qualified Professional Asset Manager made the investment decision on behalf of such Lender to enter into, participate in, administer and perform the Loans, the Letters of Credit, the Commitments and this Agreement, (C) the entrance into, participation in, administration of and performance of the Loans, the Letters of Credit, the Commitments and this Agreement satisfies the requirements of sub-sections (b) through (g) of Part I of PTE 84-14 and (D) to the best knowledge of such Lender, the requirements of subsection (a) of Part I of PTE 84-14 are satisfied with respect to such Lender’s entrance into, participation in, administration of and performance of the Loans, the Letters of Credit, the Commitments and this Agreement; or

 

(iv)                              such other representation, warranty and covenant as may be agreed in writing between the Administrative Agent, in its sole discretion, and such Lender.

 

(b)                                 In addition, unless sub-clause (i) in the immediately preceding clause (a) is true with respect to a Lender or such Lender has not provided another representation, warranty and covenant as provided in sub-clause (iv) in the immediately preceding clause (a), such Lender further (x) represents and warrants, as of the date such Person became a Lender party hereto, to, and (y) covenants, from the date such Person became a Lender party hereto to the date such Person ceases being a Lender party hereto, for the benefit of, the Administrative Agent, each Joint Arranger and their respective Affiliates, and not, for the avoidance of doubt, to or for the benefit of the Borrowers, that:

 

(i)                                     none of the Administrative Agent, any Joint Arranger or any of their respective Affiliates is a fiduciary with respect to the assets of such Lender (including in connection with the reservation or exercise of any rights by the Administrative Agent under this Agreement, any Credit Document or any documents related to hereto or thereto);

 

(ii)                                  the Person making the investment decision on behalf of such Lender with respect to the entrance into, participation in, administration of and performance of the Loans, the Letters of Credit, the Commitments and this Agreement is independent (within the meaning of 29 CFR §2510.3-21) and is a bank, an insurance carrier, an investment adviser, a broker-dealer or other person that has under management or control, total assets of at least $50 million, in each case as described in 29 CFR §2510.3-21(c)(1)(i)(A)-(E);

 

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(iii)                               the Person making the investment decision on behalf of such Lender with respect to the entrance into, participation in, administration of and performance of the Loans, the Letters of Credit, the Commitments and this Agreement is capable of evaluating investment risks independently, both in general and with regard to particular transactions and investment strategies;

 

(iv)                              the Person making the investment decision on behalf of such Lender with respect to the entrance into, participation in, administration of and performance of the Loans, the Letters of Credit, the Commitments and this Agreement is a fiduciary under ERISA or the Internal Revenue Code, or both, with respect to the Loans, the Letters of Credit, the Commitments and this Agreement and is responsible for exercising independent judgment in evaluating the transactions hereunder; and

 

(v)                                 no fee or other compensation is being paid directly to the Administrative Agent, any Joint Arranger or any of their respective Affiliates for investment advice (as opposed to other services) in connection with the Loans, the Letters of Credit, the Commitments or this Agreement.

 

(c)                                  The Administrative Agent and each Joint Arranger hereby inform the Lenders that each such Person is not undertaking to provide impartial investment advice, or to give advice in a fiduciary capacity, in connection with the transactions contemplated hereby, and that such Person has a financial interest in the transactions contemplated hereby in that such Person or an Affiliate thereof (i) may receive interest or other payments with respect to the Loans, the Letters of Credit, the Commitments and this Agreement, (ii) may recognize a gain if it extended the Loans, the Letters of Credit or the Commitments for an amount less than the amount being paid for an interest in the Loans, the Letters of Credit or the Commitments by such Lender or (iii) may receive fees or other payments in connection with the transactions contemplated hereby, the Credit Documents or otherwise, including structuring fees, commitment fees, arrangement fees, facility fees, upfront fees, underwriting fees, ticking fees, agency fees, administrative agent or collateral agent fees, utilization fees, minimum usage fees, letter of credit fees, fronting fees, deal-away or alternate transaction fees, amendment fees, processing fees, term out premiums, banker’s acceptance fees, breakage or other early termination fees or fees similar to the foregoing.

 

1.6                               Amendments to Exhibits, Appendices and Schedules.  The Exhibits, Appendices and Schedules to the Credit Agreement are amended as follows:

 

(a)                                 Exhibit B to the Credit Agreement (Compliance Certificate) is hereby amended by deleting it in its entirety and inserting Exhibit B hereto in lieu thereof.

 

(b)                                 Appendix A to the Credit Agreement (Revolving Commitment Amounts and Percentages) is hereby amended by deleting it in its entirety and inserting Appendix A hereto in lieu thereof.

 

11

 

(c)                                  Appendix B to the Credit Agreement (Addresses) is hereby amended by deleting it in its entirety and inserting Appendix B hereto in lieu thereof.

 

(d)                                 Schedule 4.7 to the Credit Agreement (Litigation) is hereby amended by deleting it in its entirety and inserting Schedule 4.7 hereto in lieu thereof.

 

(e)                                  Schedule 4.8 to the Credit Agreement (Significant Subsidiaries) is hereby amended by deleting it in its entirety and inserting Schedule 4.8 hereto in lieu thereof.

 

1.7                               Termination of Existing Fee Letters.  The Fee Letters (as defined in the Credit Agreement without giving effect to the terms hereof) are hereby terminated and shall no longer be in force or effect, and each party hereto hereby releases and forever discharges the Borrowers and each of their Affiliates from any and all claims, obligations, covenants or liabilities thereunder, whether known or unknown, matured or unmatured, absolute or contingent, liquidated or unliquidated.

 

SECTION 2.                         CONDITIONS TO EFFECTIVENESS.

 

The effectiveness of this Amendment is subject to the following conditions:

 

2.1                               Administrative Agent shall have received from each of the Borrowers, the Lenders and each Issuing Bank of a duly executed counterpart of this Amendment signed by such parties;

 

2.2                               Administrative Agent shall have received from Borrowers in immediately available funds all fees and expenses to be paid by Borrowers to Administrative Agent in connection with this Amendment set forth in the Fee Letter (including all reasonable fees and expenses of counsel to Administrative Agent);

 

2.3                               Administrative Agent shall have received copies of (A) the audited combined financial statements for Borrowers and their Subsidiaries for the fiscal year ending December 31, 2017, which financial statements were prepared in accordance with GAAP in effect on the date such statements were prepared and fairly present the consolidated financial condition and operations of Borrowers and their Subsidiaries at such date and the consolidated results of their operations for the period then ended and (B) such other financial information as Administrative Agent may reasonably request and that is readily available to the Borrowers.

 

2.4                               The representations and warranties of Borrowers contained in Article IV of the Credit Agreement and Section 4 of this Amendment shall be true on and as of the date hereof, except (i) as otherwise described in the disclosure schedules amended pursuant to Section 1.6 hereof, (ii) to the extent such representations and warranties specifically relate to an earlier date (in which case such representations and warranties shall have been true and correct in all material respects on and as of such earlier date) or (iii) for changes in facts or circumstances that have previously been disclosed in writing to the Administrative Agent and the Lenders and do not constitute a Default or Unmatured Default that has not otherwise been waived or cured pursuant to the requirement set forth in the Credit Agreement;

 

12

 

2.5                               Administrative Agent shall have received duly executed counterparts of all other Credit Documents being executed simultaneously herewith and of a legal opinion from counsel to Borrowers upon such matters as Administrative Agent shall reasonably request in connection with this Amendment and the other Credit Documents being executed simultaneously herewith, each in form and substance reasonably satisfactory to Administrative Agent;

 

2.6                               Administrative Agent shall have received a certificate , signed by the President, the Chief Executive Officer, the Chief Financial Officer, Chief Accounting Officer, Treasurer or any Vice President of Borrowers, dated the First Amendment Effective Date and in form and substance reasonably satisfactory to the Administrative Agent, certifying that (i) all representations and warranties of the Borrowers contained in the Credit Agreement and this Amendment and the other Credit Documents being executed simultaneously herewith are true and correct as of the First Amendment Effective Date, both immediately before and after giving effect to the consummation of the transactions contemplated hereby (except (a) to the extent such representations and warranties specifically relate to an earlier date (in which case such representations and warranties shall have been true and correct in all material respects on and as of such earlier date), (b) as otherwise described in the disclosure schedules amended pursuant to Section 1.6 hereof or (c) for changes in facts or circumstances that have previously been disclosed in writing to the Administrative Agent and the Lenders and do not constitute a Default or Unmatured Default that has not otherwise been waived or cured pursuant to the requirement set forth in the Credit Agreement), (ii) no Default or Unmatured Default exists and no Default or Unmatured Default would result after giving effect to the consummation of the transactions contemplated hereby, (iii) both immediately before and after giving effect to the consummation of the transactions contemplated hereby, no Material Adverse Effect has occurred since December 31, 2017, and there exists no event, condition or state of facts that could reasonably be expected to result in a Material Adverse Effect, and (iv) all conditions to the effectiveness of this Amendment set forth in this Section 2 have been satisfied or waived by the Administrative Agent;

 

2.7                               Administrative Agent shall have received a certificate of the secretary or an assistant secretary of each Borrower, dated the First Amendment Effective Date and in form and substance reasonably satisfactory to the Administrative Agent, certifying (i) that attached thereto is a true and complete copy of the articles or certificate of incorporation, certificate of formation or other organizational document and all amendments thereto of such Person, and that, except for the amendments attached thereto, the same have not been amended since the date thereof, (ii) that attached thereto is a true and complete copy of the bylaws, operating agreement or similar governing document of such Person, as then in effect and, as in effect at all times from the date on which the resolutions referred to in clause (iii) below were adopted to and including the date of such certificate, and (iii) that attached thereto is a true and complete copy of resolutions adopted by the board of directors (or similar governing body) of such Person, authorizing the execution, delivery and performance of this Amendment and the other Credit Documents being executed simultaneously herewith to which it is a party, and as to the incumbency and genuineness of the signature of each officer of such Person executing this Amendment or any of such other Credit Documents, and attaching all such copies of the documents described above;

 

13

 

2.8                               Administrative Agent shall have received (i) a certificate as of a recent date of the good standing of each Borrower under the laws of its jurisdiction of organization, from the Secretary of State (or comparable Governmental Authority) of such jurisdiction, and (ii) a certificate as of a recent date of the qualification of each Borrower to conduct business as a foreign corporation in such jurisdictions as the Administrative Agent may have reasonably requested, from the Secretary of State (or comparable Governmental Authority) of such jurisdiction;

 

2.9                               All approvals, permits and consents of any Governmental Authorities or other Persons required in connection with the execution and delivery of this Amendment, the other Credit Documents being executed simultaneously herewith, and consummation of the transactions contemplated hereby and thereby shall have been obtained, without the imposition of conditions that are not acceptable to the Administrative Agent in its reasonable determination, and all related filings, if any, shall have been made, and all such approvals, permits, consents and filings shall be in full force and effect and the Administrative Agent shall have received such copies thereof as it shall have reasonably requested; all applicable waiting periods shall have expired without any adverse action being taken or threatened by any Governmental Authority having jurisdiction; and no action, proceeding, investigation, regulation or legislation shall have been instituted, or to the knowledge of the Borrowers threatened or proposed in writing before, and no order, injunction or decree shall have been entered by, any court or other Governmental Authority, in each case to enjoin, restrain or prohibit, to obtain substantial damages in respect of, or to impose materially adverse conditions upon, this Amendment, any of the other Credit Documents, or the consummation of the transactions contemplated hereby or thereby or that could reasonably be expected to have a Material Adverse Effect;

 

2.10                        Administrative Agent shall have received such other documents, certificates and instruments in connection with the transactions contemplated hereby as it or any Lender shall have reasonably requested.

 

For purposes of determining compliance with the conditions specified in this Section 2, each Lender that has signed this Amendment shall be deemed to have consented to, approved or accepted or to be satisfied with, each document or other matter required thereunder to be consented to or approved by or acceptable or satisfactory to a Lender unless the Administrative Agent shall have received notice from such Lender prior to the proposed First Amendment Effective Date specifying its objection thereto.  The Administrative Agent shall notify the Borrowers and the Lenders of the effectiveness of this Amendment, and such notice shall be conclusive and binding.

 

SECTION 3.                         NO OTHER AMENDMENT.

 

Except for the amendments set forth above, the text of the Credit Agreement shall remain unchanged and in full force and effect.  This Amendment is not intended to effect, nor shall it be construed as, a novation.  The Credit Agreement and this Amendment shall be construed together as a single agreement and all references in the Credit Documents to the “Credit Agreement” shall mean the Credit Agreement as amended by this Amendment.  This Amendment shall not constitute a waiver of any provision of the Credit Agreement not expressly referred to herein and shall not be construed as a waiver or consent to any action on the part of Borrowers that would

 

14

 

require an amendment, waiver or consent of Administrative Agent or the Lenders except as expressly stated herein.  Nothing herein contained shall waive, annul, vary or affect any provision, condition, covenant or agreement contained in the Credit Agreement, except as herein amended, nor affect or impair any rights, powers or remedies under the Credit Agreement as hereby amended.  The Lenders, Administrative Agent, and the Issuing Banks do hereby reserve all of their rights and remedies against all parties who may be or may hereafter become secondarily liable for the repayment of the Notes.  Borrowers promise and agree to perform all of the requirements, conditions, agreements and obligations under the terms of the Credit Agreement, as heretofore and hereby amended, the Credit Agreement, as amended, being hereby ratified and affirmed.  Borrowers hereby expressly agree that the Credit Agreement, as amended, is in full force and effect.

 

SECTION 4.                         REPRESENTATIONS AND WARRANTIES.

 

Borrowers hereby represent and warrant to each of Administrative Agent, the Issuing Banks, and the Lenders as follows:

 

4.1                               No Default or Unmatured Default under the Credit Agreement or any other Credit Document has occurred and is continuing on the date hereof.

 

4.2                               Borrowers have the power and authority to enter into this Amendment and to do all acts and things as are required or contemplated hereunder, to be done, observed and performed by it.

 

4.3                               This Amendment has been duly authorized, validly executed and delivered by one or more authorized officers of each of the Borrowers and constitutes the legal, valid and binding obligation of the Borrowers enforceable against them in accordance with the terms hereof, except as may be limited by Debtor Relief Laws or similar laws affecting the enforcement of creditor’s rights generally or by equitable principles relating to enforceability.

 

4.4                               The execution and delivery of this Amendment and the Borrowers’ performance hereunder do not and will not require the consent or approval of any Governmental Authority having jurisdiction over any of the Borrowers, except for such consents or approvals the failure to obtain which would not reasonably be expected to have a Material Adverse Effect, nor be in violation of or constitute a default under any document of formation or organization with respect to any of the Borrowers, including, without limitation, any operating agreement or bylaws, as applicable, or the provision of any statute, or any judgment, order, indenture, instrument, agreement or undertaking, to which the Borrowers are a party or by which the Borrowers’ assets or properties are or may become bound, other than such violations or defaults which individually or in the aggregate, would not reasonably be expected to have a Material Adverse Effect.

 

4.5                               The December 31, 2017 consolidated financial statements of PLC and its Subsidiaries heretofore delivered to the Lenders were prepared in accordance with GAAP in effect on the date such statements were prepared and fairly present the consolidated financial condition and operations of PLC and its Subsidiaries at such date and the consolidated results of their operations for the period then ended.  The December 31, 2017 consolidated financial statements of PLICO and its Subsidiaries heretofore delivered to the Lenders were prepared in

 

15

 

accordance with GAAP in effect on the date such statements were prepared and fairly present the consolidated financial condition and operations of PLICO and its Subsidiaries at such date and the consolidated results of the operations of PLICO and its Subsidiaries for the period then ended.

 

SECTION 5.                         APPLICABLE LAW AND JURISDICTION.

 

THE VALIDITY, CONSTRUCTION AND ENFORCEMENT OF THIS AMENDMENT AND ALL OTHER DOCUMENTS EXECUTED WITH RESPECT TO THE OBLIGATIONS SHALL BE DETERMINED ACCORDING TO THE LAWS OF NEW YORK, WITHOUT GIVING EFFECT TO ITS PRINCIPLES OR RULES OF CONFLICT OF LAWS TO THE EXTENT SUCH PRINCIPLES OR RULES ARE NOT MANDATORILY APPLICABLE BY STATUTE AND WOULD REQUIRE OR PERMIT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION.

 

SECTION 6.                         COUNTERPARTS.

 

This Amendment may be executed by the parties hereto in any number of separate counterparts and all of said counterparts taken together shall be deemed to constitute one and the same instrument.

 

SECTION 7.                         SUCCESSORS AND ASSIGNS.

 

This Amendment shall be binding upon and inure to the benefit of the Borrowers and their permitted successors and assigns, and upon Administrative Agent and the Lenders and each of their respective permitted successors and assigns.  The execution and delivery of this Amendment by any Lender shall be binding upon its successors and assigns and shall be effective as to any loans or commitments assigned to it after such execution and delivery.

 

SECTION 8.                         HEADINGS.

 

Section headings used in this Amendment are for convenience of reference only, are not part of this Amendment and are not to affect the constructions of, or to be taken into consideration in interpreting, this Amendment.

 

SECTION 9.                         NO OTHER DUTIES.

 

Anything herein to the contrary notwithstanding, none of the Joint Lead Arrangers, Co-Documentation Agents, Co-Syndication Agents or Senior Managing Agents listed on the cover page of this Amendment shall have any powers, duties or responsibilities under this Amendment or any of the other Credit Documents, except in its capacity, as applicable, as the Administrative Agent, a Lender or an Issuing Bank hereunder.

 

[Remainder of page intentionally left blank]

 

16

 

IN WITNESS WHEREOF, the Borrowers, the Lenders and the Administrative Agent have executed this Amendment.

 

	
 
    	
PROTECTIVE   LIFE CORPORATION
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Steven G. Walker
    
	
 
    	
Print   Name: Steven G. Walker
    
	
 
    	
Title:   Executive Vice President and Chief Financial Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
PROTECTIVE   LIFE INSURANCE COMPANY
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Steven G. Walker
    
	
 
    	
Print   Name: Steven G. Walker
    
	
 
    	
Title:   Executive Vice President and Chief Financial Officer
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
REGIONS   BANK,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Cory D. Guillory
    
	
 
    	
Print   Name: Cory D. Guillory
    
	
 
    	
Title:   Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
WELLS   FARGO BANK, N.A.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Karen Hanke
    
	
 
    	
Print   Name: Karen Hanke
    
	
 
    	
Title:   Managing Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
MIZUHO   BANK, LTD.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Naoki Takeda
    
	
 
    	
Print   Name: Naoki Takeda
    
	
 
    	
Title:   Managing Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
MUFG   BANK, Ltd.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Bungo Shimomura
    
	
 
    	
Print   Name: Bungo Shimomura
    
	
 
    	
Title:   Managing Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
SUMITOMO   MITSUI BANKING CORPORATION,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Wataru Fukuda
    
	
 
    	
Print   Name: Wataru Fukuda
    
	
 
    	
Title:   Managing Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
BARCLAYS   BANK PLC,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Ronnie Glenn
    
	
 
    	
Print   Name: Ronnie Glenn
    
	
 
    	
Title:   Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
U.S.   BANK NATIONAL ASSOCIATION,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Bonnie S. Wiskowski
    
	
 
    	
Print   Name: Bonnie S. Wiskowski
    
	
 
    	
Title:   Senior Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
COMPASS   BANK,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Julia Barnhill
    
	
 
    	
Print   Name: Julia Barnhill
    
	
 
    	
Title:   Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
DEUTSCHE   BANK AG NEW YORK BRANCH,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Ming K. Chu
    
	
 
    	
Print   Name: Ming K. Chu
    
	
 
    	
Title:   Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Virginia Cosenza
    
	
 
    	
Print   Name: Virginia Cosenza
    
	
 
    	
Title:   Vice President
    
				

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
PNC   BANK, NATIONAL ASSOCIATION,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Paul Gleason
    
	
 
    	
Print   Name: Paul Gleason
    
	
 
    	
Title:   Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
THE   BANK OF NEW YORK MELLON,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Tatiana Ross
    
	
 
    	
Print   Name: Tatiana Ross
    
	
 
    	
Title:   Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
BRANCH   BANKING AND TRUST COMPANY,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Scott Hennessee
    
	
 
    	
Print   Name: Scott Hennessee
    
	
 
    	
Title:   Senior Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
KEYBANK   NATIONAL ASSOCIATION,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   James Cribbet
    
	
 
    	
Print   Name: James Cribbet
    
	
 
    	
Title:   SVP
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
SUNTRUST   BANK,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Andrew Johnson
    
	
 
    	
Print   Name: Andrew Johnson
    
	
 
    	
Title:   Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
CADENCE   BANK, N.A.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Barbara Mulligan
    
	
 
    	
Print   Name: Barbara Mulligan
    
	
 
    	
Title:   Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
CITIBANK,   N.A.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Robert Chesley
    
	
 
    	
Print   Name: Robert Chesley
    
	
 
    	
Title:   Vice President & Managing Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
THE   NORTHERN TRUST COMPANY,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Peter J. Hallan
    
	
 
    	
Print   Name: Peter J. Hallan
    
	
 
    	
Title:   Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
SYNOVUS   BANK,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Charles C. Clark, Jr.
    
	
 
    	
Print   Name: Charles C. Clark, Jr.
    
	
 
    	
Title:   Director, Corporate Banking
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
ATLANTIC   CAPITAL BANK, N.A.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Preston McDonald
    
	
 
    	
Print   Name: Preston McDonald
    
	
 
    	
Title:   Senior Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
BRYANT   BANK,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:   
    	
/s/   Stephen Walker
    
	
 
    	
Print   Name: Stephen Walker
    
	
 
    	
Title:   Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
BANK   OF AMERICA, N.A.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:   
    	
/s/   Hema Kishnani
    
	
 
    	
Name:   Hema Kishnani
    
	
 
    	
Title:   Vice President
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
MORGAN   STANLEY BANK, N.A.,
    
	
 
    	
as   a Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:   
    	
/s/   Michael King
    
	
 
    	
Print   Name: Michael King
    
	
 
    	
Title:   Authorized Signatory
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

	
 
    	
REGIONS   BANK,
    
	
 
    	
as   Administrative Agent
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:   
    	
/s/   Cory D. Guillory
    
	
 
    	
Print   Name: Cory D. Guillory
    
	
 
    	
Title:   Director
    

 

(Signature Page to First Amendment to Amended and Restated Credit Agreement)

 

 

EXHIBIT B

COMPLIANCE CERTIFICATE

 

To:                             The Lenders named in the

Credit Agreement described below

 

This Compliance Certificate is furnished pursuant to that certain Amended and Restated Credit Agreement dated February 2, 2015 (as amended, modified, renewed or extended from time to time, the “Agreement”) between Protective Life Corporation, a Delaware corporation (“PLC”) and Protective Life Insurance Company, a Tennessee corporation (“PLICO”; PLC and PLICO are sometimes together referred to as the “Borrowers”), the Lenders named therein and Regions Bank, as Administrative Agent for the Lenders.  Unless otherwise defined herein, capitalized terms used in this Compliance Certificate have the meanings ascribed thereto in the Agreement.

 

THE UNDERSIGNED HEREBY CERTIFIES ON BEHALF OF THE BORROWERS THAT:

 

1.                                      I am the duly elected                                                              of PLC.

 

2.                                      I have reviewed the terms of the Agreement and have made, or have caused to be made under my supervision, a detailed review of the transactions and conditions of the Borrowers and their Subsidiaries during the accounting period covered by the attached financial statements.

 

3.                                      The examinations described in paragraph 2 did not disclose, and I have no knowledge of, the existence of any condition or event that constitutes a Default or Unmatured Default during or at the end of the accounting period covered by the attached financial statements or as of the date of this Certificate, except as set forth below.

 

4.                                      Schedule I attached hereto sets forth financial data and computations evidencing the Borrowers’ compliance with certain covenants of the Agreement, all of which data and computations are true, complete and correct.

 

Described below are the exceptions, if any, to paragraph 3 listing, in detail, the nature of the condition or event, the period during which it has existed and the action the Borrower has taken, is taking or proposes to take with respect to each such condition or event:

 

                                                                    

                                                                    

                                                                    

 

 

The foregoing certifications, together with the computations set forth in Schedule I hereto and the financial statements delivered with this Certificate in support hereof, are made and delivered this           day of            , 20    .

 

	
 
    	
 
    
	
 
    	
                            of Protective Life Corporation
    

 

 

SCHEDULE I TO COMPLIANCE CERTIFICATE

 

Schedule of Compliance as of [Insert date of end of fiscal quarter]

with provisions of 5.12 and 5.13 of the Agreement

 

1.                                      Section 5.12 - Adjusted Consolidated Net Worth

 

	
A.
    	
 
    	
Consolidated   Net Worth
    	
 
    	
$                          
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
B.
    	
 
    	
Adjustments,   if any, for (i) goodwill or intangible assets (other than value of   business acquired) and (ii) unrealized net gains and losses on assets   held for sale pursuant to FASB ASC 320 and other accumulated comprehensive income   pursuant to FASB ASC 220
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
C.
    	
 
    	
Adjusted   Consolidated Net Worth (A excluding B)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
D.
    	
 
    	
80%   of PLC’s Adjusted Consolidated Net Worth as of December 31, 2017 

(but   in no event less than $4,500,000,000)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
E.
    	
 
    	
Consolidated   Net Income earned after December 31, 2017 (if positive)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
F.
    	
 
    	
25%   of E
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
G.
    	
 
    	
PLC’s   consolidated allowance for potential future losses on investments in its   investment portfolio not otherwise included for unrealized net gains and   losses on assets held for sale pursuant to FASB ASC 320 and accumulated other   comprehensive income pursuant to FASB ASC 220 (through the date of   determination of the amount identified in E)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
H.
    	
 
    	
D plus F minus G
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
I.
    	
 
    	
C minus H
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(Must   be greater than or equal to 0)
    	
 
    	
$                           
    	
 
    

 

	
 
    	
 
    	
Complies                                              Does   not comply                  
    	
 
    

 

 

2.                                      Section 5.13 - Ratio of Adjusted Consolidated Indebtedness to  Consolidated Capitalization

 

	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
A.
    	
 
    	
Consolidated   Indebtedness
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
1.
    	
 
    	
Borrowed   money, obligations secured by Liens and obligations evidenced by notes, etc.
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
2.
    	
 
    	
Deferred   purchase of property or services (other than accounts payable in the ordinary   course of business)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
3.
    	
 
    	
Capitalized   Lease Obligations
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
4.
    	
 
    	
Letters   of Credit
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
5.
    	
 
    	
Synthetic   Lease Obligations
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
6.
    	
 
    	
Guaranteed   Obligations
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
B.
    	
 
    	
Short-Term   Indebtedness for advance fundings of guaranteed investment contracts,   annuities and other similar insurance and investment products
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
C.
    	
 
    	
Adjusted   Consolidated Indebtedness (A minus B)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
D.
    	
 
    	
Consolidated   Capitalization
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(i)
    	
Adjusted   Consolidated Net Worth
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(ii)
    	
Adjusted   Consolidated Indebtedness (C)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(iii)
    	
Sum   of (i) and (ii)
    	
 
    	
$                           
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
E.
    	
 
    	
Ratio   of C to D
    	
 
    	
                            :1.0
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
F.
    	
 
    	
Permitted   Ratio
    	
No   more than 0.4:1.0
    
								

 

	
 
    	
 
    	
Complies                                              Does   not comply                  
    	
 
    

 

 

APPENDIX A

 

Revolving Commitment Amounts and Percentages

 

	
Institution Name
    	
 
    	
Revolving
   Commitment
    	
 
    	
Revolving
   Commitment
   Percentage
    	
 
    
	
Regions Bank
    	
 
    	
$
    	
85,000,000
    	
 
    	
8.50
    	
%
    
	
Wells Fargo Bank,   N.A.
    	
 
    	
77,500,000
    	
 
    	
7.75
    	
%
    
	
Mizuho   Bank, Ltd.
    	
 
    	
77,500,000
    	
 
    	
7.75
    	
%
    
	
Sumitomo Mitsui   Banking Corporation
    	
 
    	
70,000,000
    	
 
    	
7.00
    	
%
    
	
U.S. Bank   National Association
    	
 
    	
60,000,000
    	
 
    	
6.00
    	
%
    
	
Citibank, N.A.
    	
 
    	
60,000,000
    	
 
    	
6.00
    	
%
    
	
MUFG   Bank, Ltd.
    	
 
    	
56,000,000
    	
 
    	
5.60
    	
%
    
	
Bank of America,   N.A.
    	
 
    	
50,000,000
    	
 
    	
5.00
    	
%
    
	
Barclays Bank   PLC
    	
 
    	
50,000,000
    	
 
    	
5.00
    	
%
    
	
Compass Bank
    	
 
    	
50,000,000
    	
 
    	
5.00
    	
%
    
	
Deutsche Bank AG   New York Branch
    	
 
    	
50,000,000
    	
 
    	
5.00
    	
%
    
	
PNC Bank,   National Association
    	
 
    	
50,000,000
    	
 
    	
5.00
    	
%
    
	
Branch Banking   and Trust Company
    	
 
    	
35,000,000
    	
 
    	
3.50
    	
%
    
	
KeyBank National   Association
    	
 
    	
35,000,000
    	
 
    	
3.50
    	
%
    
	
SunTrust Bank
    	
 
    	
35,000,000
    	
 
    	
3.50
    	
%
    
	
The Bank of New   York Mellon
    	
 
    	
35,000,000
    	
 
    	
3.50
    	
%
    
	
Cadence Bank,   N.A.
    	
 
    	
30,000,000
    	
 
    	
3.00
    	
%
    
	
The Northern   Trust Company
    	
 
    	
30,000,000
    	
 
    	
3.00
    	
%
    
	
Synovus Bank
    	
 
    	
30,000,000
    	
 
    	
3.00
    	
%
    
	
Morgan Stanley   Bank, N.A.
    	
 
    	
14,000,000
    	
 
    	
1.40
    	
%
    
	
Atlantic Capital   Bank, N.A.
    	
 
    	
10,000,000
    	
 
    	
1.00
    	
%
    
	
Bryant Bank
    	
 
    	
10,000,000
    	
 
    	
1.00
    	
%
    
	
TOTAL
    	
 
    	
$
    	
1,000,000,000
    	
 
    	
100
    	
%
    

 

 

APPENDIX B

 

Addresses

 

Administrative Agent’s Principal Office

 

Regions Bank

Attention:  Cory Guillory

1900 5th Avenue North

Upper Lobby, Regions Center

Birmingham, AL 35203

 

Tel:  205.581.7497

Fax:  205.326.5170

Email:  cory.guillory@regions.com

 

Syndicate Services

Attention:  Tammy Ziliamon

1180 West Peachtree Street NW, Suite 1400

Atlanta, GA 30309

 

Tel:  404.279.7505

Fax:  404.279.7425

Email:  tammy.ziliamon@regions.com

 

Lenders’ Principal Offices

 

Atlantic Capital Bank, N.A.

Preston McDonald

945 East Paces Ferry Road NE, 16th Floor

Atlanta, GA 30326

 

Tel:  404.995.5845

Fax:  404.995.6070

Email:  preston.mcdonald@atlcapbank.com

 

Bank of America, N.A.

Hema Kishnani

Bank of America Plaza

901 Main St.

Dallas, TX 75202

 

Tel:  214.209.0303

Fax:  214.209.3747

Email:  hema.kishnani@baml.com

 

The Bank of New York Mellon

Tatiana Ross

One Wall Street

New York, New York 10286

 

Tel:  212.635.6765

Fax:  212.635.8541

Email:  Tatiana.Ross@bnymellon.com

 

 

Barclays Bank PLC

Ben Hickes

745 Seventh Avenue, 27th Floor

New York, NY 10019

 

Tel:  212.526.6506

Fax:  212.526.5115

Email:  ben.hickes@barclays.com

 

Branch Banking and Trust Company

Lisa Cook

700 12th Ave S, Ste. 303

Nashville, TN 37203

 

Tel:  615-873-2113

Fax:  888-707-6142

Email:  LisaR.Cook@bbandt.com

 

Bryant Bank

Jeremy Tuggle

2700 Cahaba Village Plaza

Birmingham, AL 35243

 

Tel:  205.968.3354

Fax:  205.969.5805

Email:  jeremy.tuggle@bryantbank.com

 

Cadence Bank, N.A.

Barbara Mulligan

2100 Third Avenue North, Suite 1100

Birmingham, AL  35203

 

Tel:  205.327.3461

Fax:  205.488.3320

Email:  barbara.mulligan@cadencebank.com

 

Citibank, N.A.

Robert Chesley

388 Greenwich Street, 35th Floor

New York, NY 10013

 

Tel:  212.816.5706

Fax:  646.495.9200

Email:  robert.chesley@citi.com

 

Compass Bank

Julia Barnhill

16 South 20th Street, Suite 201

Birmingham, AL 35233

 

Tel:  713.966.2324

Fax:  205.524.0385

Email:  julia.barnhill@bbva.com

 

2

 

Deutsche Bank AG New York Branch

Jody Feldman, CFA

60 Wall Street

New York, NY 10005

 

Tel:  212-250-0193

Fax:  n/a

Email: jody.feldman@db.com

 

KeyBank National Association

James Cribbet

127 Public Square

Cleveland, OH 44114

 

Tel:  216.689.4926

Fax:  216.370.5997

Email:  james_cribbet@keybank.com

 

Mizuho Bank, Ltd.

Satoshi Yamada

1251 Avenue of Americas

New York, NY 10020

 

Tel:  212.282.3344

Fax:  212.282.4488

Email:  satoshi.yamada@mizuhocbus.com

 

Morgan Stanley Bank, N.A.

Harry Comninellis

750 Seventh Avenue, 11th Floor

New York, NY  10019

 

Tel:  212.761.3489

Fax:   212.507.3203

Email:  harry.comninellis@morganstanley.com

 

MUFG Bank, Ltd.

Koichi Funamoto

1251 Avenue of the Americas

New York, NY 10020

 

Tel:  212.782.5534

Fax:  212.782.6437

Email:  kfunamoto@us.mufg.jp

 

The Northern Trust Company

Peter Hallan

50 South LaSalle Street

Chicago, IL  60603

 

Tel:  312.444.2434

Fax:  312.444.4906

Email:  ph48@ntrs.com

 

3

 

PNC Bank, National Association

Nicole Limberg

1 N. Franklin

Chicago, IL 60606

 

Tel:  312.384.4650

Fax:  877.735.7312

Email:  nicole.limberg@pnc.com

 

Regions Bank

Cory Guillory

1900 5th Avenue North

Upper Lobby, Regions Center

Birmingham, AL 35203

 

Tel:  205.581.7497

Fax:  205.326.5170

Email:  cory.guillory@regions.com

 

Sumitomo Mitsui Banking Corporation

Gotaka Masuda

277 Park Avenue

New York, NY 10172

 

Tel:  212.224.4185

Fax:  212.593.9514

Email:  gotaka_masuda@smbcgroup.com

 

SunTrust Bank

Paula Mueller

3333 Peachtree Street NE, 7th Floor

Atlanta, GA 30326

 

Tel:  404.439.9611

Fax:  404.989.9589

Email:  paula.mueller@suntrust.com

 

Synovus Bank

Charles Clark

800 Shades Creek Parkway

Birmingham, AL  35209

 

Tel:  205.868.6127

Fax:  888.856.2456

Email:  charlesclark@synovus.com

 

U.S. Bank National Association

Frank Ahlborn

214 N. Tryon Street, 26th Floor

Charlotte, NC 28202

 

Tel:  612.344.8228

Fax:  920.237.7993

Email:  frank.ahlborn@usbank.com

 

4

 

Wells Fargo Bank, National Association

Karen Hanke

301 South College Street

Charlotte, NC 28288

 

Tel:  704.410.0855

Fax:  704.410.0331

Email:  karen.hanke@wellsfargo.com

 

Borrower’s Principal Office

 

Protective Life Corporation

Attention:  Lance Black

2801 Highway 280 South

Birmingham, AL 35223

 

Tel:  205.268.5511

Fax:  205.268.3642

Email:  lance.black@protective.com

 

Protective Life Insurance Company

Attention:  Lance Black

2801 Highway 280 South

Birmingham, AL 35223

 

Tel:  205.268.5511

Fax:  205.268.3642

Email:  lance.black@protective.com

 

5

 

SCHEDULE 4.7

 

A number of judgments have been returned against insurers, broker-dealers, and other providers of financial services involving, among other things, sales, underwriting practices, product design, product disclosure, product administration, denial or delay of benefits, charging excessive or impermissible fees, recommending unsuitable products to customers, breaching fiduciary or other duties to customers, refund or claims practices, alleged agent misconduct, failure to properly supervise representatives, relationships with agents or other persons with whom the company does business, payment of sales or other contingent commissions, and other matters.  Often these legal proceedings have resulted in the award of substantial judgments that are disproportionate to the actual damages, including material amounts of punitive non-economic compensatory damages.  In some states, juries, judges, and arbitrators have substantial discretion in awarding punitive and non-economic compensatory damages, which creates the potential for unpredictable material adverse judgments or awards in any given legal proceeding.  Arbitration awards are subject to very limited appellate review. In addition, in some legal proceedings, companies have made material settlement payments. In some instances, substantial judgments may be the result of a party’s perceived ability to satisfy such judgments as opposed to the facts and circumstances regarding the claims.

 

Group health coverage issued through associations and credit insurance coverages have received some negative publicity in the media as well as increased regulatory consideration and review and litigation. The Company has a small closed block of group health insurance coverage that was issued to members of an association. A number of lawsuits and investigations regarding the method of paying claims have been initiated against life insurers. The Company offers payment methods that may be similar to those that have been the subject of such lawsuits and investigations.

 

The Company, like other financial services companies in the ordinary course of business, is involved in legal proceedings and regulatory actions. The occurrence of such matters may become more frequent and/or severe when general economic conditions have deteriorated. In addition, premium rates charged by the Company are based, in part, on the assumption that reinsurance will be available at a certain cost. Certain reinsurers have attempted and may continue to attempt to increase the rates they charge the Company for reinsurance, and the Company is involved in arbitration proceedings regarding such rate increases.  The Company may be unable to predict the outcome of such matters and may be unable to provide a reasonable range of potential losses. Given the inherent difficulty in predicting the outcome of such matters, it is possible that an adverse outcome in certain such matters could be material to the Company’s results for any particular reporting period.

 

The financial services and insurance industries are sometimes the target of law enforcement and regulatory investigations relating to the numerous laws and regulations that govern such companies. Some companies have been the subject of law enforcement or other actions resulting from such investigations. Resulting publicity about one company may generate inquiries into or litigation against other financial service providers, even those who do not engage in the business lines or practices at issue in the original action. It is impossible to predict the outcome of such investigations or actions, whether they will expand into other areas not yet contemplated, whether they will result in changes in regulation, whether activities currently

 

 

thought to be lawful will be characterized as unlawful, or the impact, if any, of such scrutiny on the financial services and insurance industry or the Company. From time to time, the Company receives subpoenas, requests, or other inquires and responds to them in the ordinary course of business.

 

For the purposes of this Schedule the “Company” refers to Protective Life Corporation and/or its subsidiaries, as context requires.

 

 

SCHEDULE 4.8

 

SIGNIFICANT SUBSIDIARIES

 

	
Name of Significant
   Subsidiary
    	
 
    	
State of
   Incorporation
    	
 
    	
Percentage Stock
   Owned by Borrower
   or Subsidiaries
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Protective Life Insurance Company
    	
 
    	
Tennessee
    	
 
    	
100
    	
%
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
West Coast Life Insurance Company
    	
 
    	
Nebraska
    	
 
    	
100
    	
%
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
MONY Life Insurance Company
    	
 
    	
New York
    	
 
    	
100
    	
%Exhibit
10.2

 

Second
Amendment To Credit Agreement

 

This
Second Amendment to Credit Agreement (herein, this “Amendment”) is entered
into as of March 6, 2018, among Global Medical
REIT L.P., a Delaware limited partnership (the “Borrower”), Global
Medical REIT
Inc., a Maryland corporation (the “Parent” or “Global
Medical REIT”), as a Guarantor, the other Guarantors party hereto, the Lenders party hereto, and BMO Harris
Bank N.A., as Administrative Agent (in such capacity, the “Administrative
Agent”).

 

Preliminary
Statements

 

A.           Borrower,
Parent, the other Guarantors party thereto, the Lenders party thereto, and the Administrative Agent have heretofore entered into
that certain Credit Agreement, dated as of December 2, 2016, as amended by that certain First Amendment to Credit Agreement, dated
as of March 3, 2017 (such Credit Agreement being referred to herein as the “Credit Agreement”).
All capitalized terms used herein without definition shall have the same meanings herein as such terms have in the Credit
Agreement, as amended by this Amendment.

 

B.           Borrower
has delivered to the Administrative Agent a Commitment Amount Increase Request requesting that the Commitment be increased to $340,000,000,
and Administrative Agent and the Lenders are willing to do so pursuant to the terms below.

 

C.           This
Amendment shall constitute a Loan Document and these Preliminary Statements shall be construed as part of this Amendment.

 

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

 

Section
1.                 Amendment to Credit
Agreement.

 

Subject
to the satisfaction of the conditions precedent set forth in Section 2 below, the Credit Agreement (including all Schedules and
Exhibits thereto) shall be and hereby is amended to delete the struck text (indicated textually in the same manner as the following
example: struck text) and to add the double-underlined text (indicated textually in the same manner as the following
example: double-underlined text) as set forth in the pages of the Credit Agreement attached as Annex I hereto.

 

Section
2.                 Reaffirmation of Guaranties.

 

Each
Guarantor hereby (i) acknowledges and consents to the terms of this Amendment and the Credit Agreement as amended by this Amendment,
(ii) confirms that its Guaranty in favor of the Administrative Agent, for the benefit of the Lenders, and all of its obligations
thereunder, as amended, remain in full force and effect and (iii) reaffirms all of the terms, provisions, agreements and covenants
contained in its Guaranty. Each Guarantor agrees that its consent to any further amendments or modifications to the Credit Agreement
and other Loan Documents shall not be required solely as a result of this acknowledgment and consent having been obtained, except
to the extent, if any, required by any Guaranty.

 

     

    

    

  

Section
3.                 Conditions Precedent.

 

The
effectiveness of this Amendment is subject to the satisfaction of all of the following conditions precedent:

 

3.1.          The
Administrative Agent shall have received this Amendment duly executed by the Borrower, each Guarantor, and the Lenders.

 

3.2.          Each
Lender shall have received an Amended and Restated Promissory Note (or Second Amended and Restated Promissory Note, as applicable)
in the amount of such Lender’s Commitment, duly executed by the Borrower.

 

3.3.          The
Administrative Agent shall have received specimen signatures of the persons authorized to execute such documents on the Borrower’s
and each Guarantor’s behalf and a written certificate of an Authorized Representative of Borrower and each Guarantor that
(i) either affirms that there have been no change to Borrower’s or such Guarantor’s articles of incorporation or articles
of organization, as applicable, and bylaws or operating agreement, as applicable, or attaches any amendments to Borrower’s
or such Guarantor’s articles of incorporation or articles of organization, as applicable, and/or bylaws or operating agreement,
as applicable, and (ii) certifies that attached thereto are a true, correct and completed copy of the written resolutions or other
evidence reasonably acceptable to the Administrative Agent of the Borrower’s and each such Guarantor’s Board of Directors
(or similar governing body) authorizing the execution and delivery of this Amendment and performance of this Amendment and the
Credit Agreement as amended by this Amendment.

 

3.4.          The
Administrative Agent shall have received a written opinion of counsel to the Borrower and each Guarantor, in form and substance
reasonably satisfactory to the Administrative Agent;

 

3.5.          The
Administrative Agent shall have received such other agreements, instruments, documents, certificates, and opinions as the Administrative
Agent may reasonably request, and legal matters incident to the execution and delivery of this Amendment shall be reasonably satisfactory
to the Administrative Agent and its counsel.

 

Section
4.                 Representations.

 

In
order to induce the Administrative Agent and the Lenders to execute and deliver this Amendment, the Borrower and each other Guarantor
hereby represents to the Administrative Agent and the Lenders that (a) after giving effect to this Amendment, the representations
and warranties set forth in Section 6 of the Credit Agreement, as amended by this Amendment, are and shall be and remain true and
correct in all material respects as of the date hereof (or, if any such representation and warranty is expressly stated to have
been made as of a specific date, as of such specific date) and (b) no Default or Event of Default has occurred and is continuing
under the Credit Agreement or shall result after giving effect to this Amendment.

 

    	 	-2-	 

    

    

 

Section
5.                 Miscellaneous.

 

5.1.            Except
as specifically amended herein, the Credit Agreement shall continue in full force and effect in accordance with its original terms.
Reference to this specific Amendment need not be made in the Credit Agreement, the Notes, the other Loan Documents, or any other
instrument or document executed in connection therewith, or in any certificate, letter or communication issued or made pursuant
to or with respect to the Credit Agreement, any reference in any of such items to the Credit Agreement being sufficient to refer
to the Credit Agreement as amended hereby.

 

5.2.            The
Borrower agrees to pay on demand all reasonable costs and out-of-pocket expenses of or incurred by the Administrative Agent in
connection with the negotiation, preparation, execution and delivery of this Amendment, including the reasonable fees and out-of-pocket
expenses of counsel for the Administrative Agent.

 

5.3.            This
Amendment may be executed in any number of counterparts, and by the different parties on different counterpart signature pages,
all of which taken together shall constitute one and the same agreement. Any of the parties hereto may execute this Amendment
by signing any such counterpart and each of such counterparts shall for all purposes be deemed to be an original. Delivery of
an executed counterpart of a signature page of this Amendment by facsimile or in electronic (e.g., “pdf” or “tif”)
format shall be effective as delivery of a manually executed counterpart of this Amendment. This
Amendment, and the rights and duties
of the parties hereto, shall be construed and determined in accordance with the
laws of the State of New York
(including Section 5-1401 and
Section 5-1402 of the General
Obligations law of the State of New
York) without regard to conflicts
of law principles that would require application of the laws of another jurisdiction.

 

5.4.            On
the date hereof, the Lenders agree to make such purchases and sales of interests in the outstanding Loans between themselves so
that each Lender is then holding its relevant Percentage of outstanding Loans based on its Commitment as in effect after giving
effect hereto. Such purchases and sales shall be arranged through the Administrative Agent and each Lender hereby agrees to execute
such further instruments and documents, if any, as the Administrative Agent may reasonably request in connection therewith.

 

[Signature
Pages Follow]

 

    	 	-3-	 

    

    

 

This
Second Amendment to Credit Agreement is entered into as of the date and year first above written.

 

	 	BORROWER:
	 	 
	 	GLOBAL
    MEDICAL REIT L.P.
	 	 	 	 
	 	By:	GLOBAL
    MEDICAL REIT GP, LLC,
	 	 	a
    Delaware limited liability company,
	 	 	its
    General Partner
	 	 	 	 
	 	 	By:	GLOBAL
    MEDICAL REIT INC.,
	 	 	 	a
    Maryland Corporation,
	 	 	 	its-Sole
    Member,
	 	 	 	 
	 	 	By:	/s/
     Robert Kiernan
	 	 	Name:	Robert
    Kiernan
	 	 	Date:	Treasurer
    and Chief Financial Officer

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	GUARANTORS:
	 	 
	 	GLOBAL
    MEDICAL REIT INC.
	 	 	 
	 	By	/s/
    Robert Kiernan
	 	Name:  Robert
    Kiernan
	 	Title:    Treasurer
    and Chief Financial Officer
	 	 
	 	GMR ALBERTVILLE,
    LLC
	 	GMR ALTOONA,
    LLC
	 	GMR AMARILLO,
    LLC
	 	GMR ASHEVILLE,
    LLC
	 	GMR AUSTIN,
    LLC
	 	GMR BROCKPORT,
    LLC
	 	GMR CAPE
    CORAL, LLC
	 	GMR CARSON
    CITY, LLC
	 	GMR CLERMONT,
    LLC
	 	GMR EAST
    ORANGE, LLC
	 	GMR ELLIJAY,
    LLC
	 	GMR FLOWER
    MOUND, LLC
	 	GMR FORT
    WORTH, LLC
	 	GMR FREMONT,
    LLC
	 	GMR GERMANTOWN,
    LLC
	 	GMR GREAT
    BEND, LLC
	 	GMR LAS
    CRUCES, LLC
	 	GMR LEE’S
    SUMMIT, LLC
	 	GMR LEWISBURG,
    LLC
	 	GMR LUBBOCK,
    LLC
	 	GMR MECHANICSBURG,
    LLC
	 	GMR MESA,
    LLC
	 	GMR MOLINE,
    LLC
	 	GMR OKLAHOMA
    CITY, LLC
	 	GMR OMAHA,
    LLC
	 	GMR PRESCOTT,
    LLC
	 	GMR READING,
    LLC
	 	GMR SAINT
    GEORGE, LLC
	 	GMR SANDUSKY,
    LLC
	 	GMR SHERMAN,
    LLC
	 	GMR WATERTOWN,
    LLC

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	GMR
    WYOMISSING, LLC
	 	 
	 	By:	GLOBAL
    MEDICAL REIT L.P.,
	 	 	a
    Delaware limited partnership,
	 	 	its
    Sole Member
	 	 	 
	 	 	By:	GLOBAL
    MEDICAL REIT GP, LLC, 

a Delaware limited liability company, 

its General Partner
	 	 	 	 
	 	 	 	By:	GLOBAL
    MEDICAL REIT INC., 

a Maryland Corporation, 

it-Sole Member
	 	 	 	 	 
	 	 	 	By:	/s/ Robert Kiernan
	 	 	 	Name:	Robert
    Kiernan
	 	 	 	Title:	Treasurer
    and Chief Financial Officer

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	Administrative Agent:
	 	 
	 	BMO Harris
    Bank
    N.A., as L/C Issuer and as
	 	Administrative Agent

 

	 	By:	/s/  Kevin Fennell
	 	 	Name: Kevin Fennell
	 	 	Title:   Director

 

	 	Lenders:
	 	 
	 	BMO Harris Bank N.A., as a Lender

 

	 	By:	/s/  Kevin Fennell
	 	 	Name: Kevin Fennell
	 	 	Title:   Director

  

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	Branch Banking and Trust Company
	 	 	 
	 	By:	/s/  Steve Whitcomb
	 	 	Name: Steve Whitcomb
	 	 	Title: Senior Vice President

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	Citizens Bank, N.A.
	 	 	 
	 	By:	/s/  Frank Kaplan
	 	 	Name: Frank Kaplan
	 	 	Title: Assistant Vice President

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	Comerica Bank
	 	 	 
	 	By	/s/  Casey L. Stevenson
	 	 	Name: Casey L. Stevenson
	 	 	Title:   Vice President

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	Franklin Synergy Bank
	 	 
	 	By	/s/ Lisa Fletzher
	 	 	Name	Lisa Fletzher
	 	 	Title	SVP

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	KeyBank National Association
	 	 	 
	 	By	/s/ Brandor Taseff
	 	 	Name 	Brandor Taseff
	 	 	Title	Vice President

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	SunTrust Bank
	 	 	 	 
	 	By	/s/ Philip
    VanFossan
	 	 	Name	Philip
    VanFossan
	 	 	Title	Vice
    President

 

[Signature
Page to Second Amendment to Credit Agreement (Global Medical REIT L.P.)]

 

     

    

    

 

	 	The Huntington National Bank
	 	 	 
	 	By	/s/ Michael Shiferaw
	 	 	Name	Michael Shiferaw
	 	 	Title	Senior Vice President

 

[Signture page to Credit Agreement-Global Medical REIT L.P.]

  

     

    

    

 

Annex
I 

Credit
Agreement

 

[See
attached.]

 

     

    

    

 

	 

 

Credit
Agreement*

 

Dated
as of December 2, 2016

 

among

 

Global
Medical REIT L.P., 

as
Borrower

 

the
Guarantors from time to time party hereto,

 

the
Lenders from time to time party hereto,

 

and

 

BMO
Harris Bank N.A.,

as
Administrative Agent

 

and

 

Citizens
Bank, N.A. and

SunTrust
Bank, as Co-Syndication
Agents

	 

 

BMO
Capital Markets,

Citizens
Bank, N.A.and,

SunTrust
Robinson Humphrey, Inc.,

and

KeyBank
National Association

as
Joint Lead
Arrangers and Joint Book
Runners

 

 

		*	As amended
by (i) that certain First Amendment to Credit Agreement dated March 3, 2017.2017,
and (ii) that certain Second Amendment to Credit Agreement dated March 6, 2018. 

 

     

    

    

 

documents
reasonably requested to effect such assignment, including an appropriate Assignment and Acceptance and shall pay to the
Administrative Agent an assignment fee in the amount of $3500.3,500.
The exercise by the Borrower of its rights under this Section shall be at the Borrower’s sole cost and expense and at
no cost or expense to the Administrative Agent or any of the Lenders.

 

Section
1.15. Increase in Commitments. The Borrower may, from time to time, on any Business
Day prior to the date that is six (6) months prior to the Scheduled Termination Date, increase the aggregate amount of the Commitments
by delivering a request substantially in the form attached hereto as Exhibit H or in such other form acceptable to the Administrative
Agent (a “Commitment Amount Increase Request”) at least five (5) Business
Days prior to the desired effective date of such increase (the “Commitment Amount Increase”).
Such Commitment Amount Increase Request shall identify the requested additional Commitments from existing Lender(s),
Eligible Assignees proposed as new Lenders or a combination of existing Lenders and Eligible Assignees proposed as new Lenders
(the “Increasing Lenders”). Any Commitment Amount Increase shall be subject
to the following conditions: (i) the Commitments shall not be increased to an amount greater than $250,000,000390,000,000
in the aggregate, (ii) any Commitment Amount Increase shall be in an amount not less than $5,000,000, (iii) no Default
or Event of Default shall have occurred and be continuing on the date of the Commitment Amount Increase Request or the effective
date of the Commitment Amount Increase, and (iv) all representations and warranties contained in Section 6 hereof shall be true
and correct in all material respects (where not already qualified by materiality or Material Adverse Effect, otherwise in all
respects) at the time of such request and on the effective date of such Commitment Amount Increase (except to the extent such
representations and warranties relate to an earlier date, in which case they are true and correct in all material respects (where
not already qualified by materiality or Material Adverse Effect, otherwise in all respects) as of such date). The effective date
of the Commitment Amount Increase shall be as set forth in the related Commitment Amount Increase Request. Upon the effectiveness
thereof, the Increasing Lenders shall advance Loans in an amount sufficient such that after giving effect to its advance each
Lender shall have outstanding its Percentage of Loans. It shall be a condition to such effectiveness that if any Eurodollar Loans
are outstanding on the date of such effectiveness, such Eurodollar Loans shall be deemed to be prepaid on such date and the Borrower
shall pay any amounts owing to the Lenders pursuant to Section 1.11 hereof. The Borrower agrees to pay any reasonable and documented,
out-of-pocket expenses of the Administrative Agent relating to any Commitment Amount Increase and arrangement fees related thereto
as agreed upon in writing between Administrative Agent and the Borrower. Notwithstanding anything herein to the contrary, no Lender
shall have any obligation to increase its Commitment and no Lender’s Commitment shall be increased without its consent thereto,
and each Lender may at its option, unconditionally and without cause, decline to increase its Commitment.

 

Section
1.16. Extension of Termination Date. The Borrower may, by notice to the Administrative
Agent (which shall promptly deliver a copy to each of the Lenders) given at least thirty (30) days and not more than ninety (90)
days prior to the Initial Termination Date, request that Lenders extend the date on which all Commitments are scheduled to expire
hereunder to December 2, 2020 (the “Extended Termination Date”). On the
Initial Termination Date, such extension will become effective subject to the Borrower’s timely delivery of such notice
to the Administrative Agent and payment of the Extension Fee, and provided that both on the notice delivery date and on the Initial
Termination Date (i) no Default or Event of Default shall have

 

    	 	17	 

    

    

 

and policies of the other Person, whether through the ownership
of voting securities, common directors, trustees or officers, by contract or otherwise.

 

“Closing
Date” means the date of this Agreement.

 

“Code”
means the Internal Revenue Code of 1986, as amended, and any successor statute thereto.

 

“Collateral”
means all properties, rights, interests, and privileges from time to time subject to the
Liens granted to the Administrative Agent, or any security trustee therefor, by the Collateral Documents.

 

“Collateral
Account” is defined in Section 9.4 hereof.

 

“Collateral
Documents” means the Pledge Agreement, Mortgages (if any), and all other
mortgages, deeds of trust, security agreements, pledge agreements, assignments, financing statements, control agreements, and other
documents as shall from time to time secure the Obligations or any part thereof.

 

“Commitment”
means, as to any Lender, the obligation of such Lender to make Revolving Loans and to participate
in Swing Loans and Letters of Credit issued for the account of the Borrower hereunder in an aggregate principal or face amount
at any one time outstanding not to exceed the amount set forth opposite such Lender’s name on Schedule 1 attached hereto
and made a part hereof, as the same may be reduced or modified at any time or from time to time pursuant to the terms hereof. The
Borrower and the Lenders acknowledge and agree that the Commitments of the Lenders, in the aggregate, are equal to $200,000,000340,000,000
on the FirstSecond Amendment Closing Date.

 

“Commitment
Amount Increase” is defined in Section 1.15 hereof.

 

“Commitment
Amount Increase Request” is defined in Section 1.15 hereof.

 

“Commodity
Exchange Act” means the Commodity Exchange Act (7 U.S.C. § 1 et seq.), as amended from time to time, and any successor
statute.

 

“Compliance
Certificate” is defined in Section 8.5 hereof.

 

“Connection
Income Taxes” means Other Connection Taxes that are imposed on or measured
by net income (however denominated) or that are franchise Taxes or branch profit Taxes.

 

“Consolidated
Leverage Ratio” means, as at any date of determination, the ratio of (i)
Total Indebtedness as of such date to (ii) Total Asset Value as of such date.

 

“Consolidated
Secured Recourse Leverage Ratio” means, as at any date of determination,
the ratio of (i) Total Secured Recourse Indebtedness as of such date to (ii) Total Asset Value as of such date.

 

    	 	29	 

    

    

 

“Scheduled
Termination Date” means the Initial Termination Date or the Extended Termination Date, as the case may be.

 

“Second
Amendment Closing Date”  means March 6,
2018.

 

“Significant
Lease” means, as to any particular Real Property, each Lease which constitutes
30% or more of all base rent revenue of such Real Property.

 

“Solvent’
means, with respect to any person on a particular date, that on such date (a) the fair value of the property of such Person is
greater than the total amount of liabilities, including, without limitation, contingent liabilities, of such Person, (b) the present
fair saleable value of the assets of such Person is not less than the amount that will be required to pay the probable liability
of such Person on its debts as they become absolute and matured, (c) such Person is able to realize upon its assets and pay its
debts and other liabilities, contingent obligations and other commitments as they mature, (d) such Person does not intend to, and
does not believe that it will, incur debts or liabilities beyond such Person’s ability to pay as such debts and liabilities
mature, and (e) such Person is not engaged in a business or a transaction, and is not about to engage in a business or a transaction,
for which such Person’s property would constitute unreasonably small capital after giving due consideration to the prevailing
practice in the industry in which such Person is engaged. In computing the amount of contingent liabilities at any time, it is
intended that such liabilities will be computed at the amount which, in light of all the facts and circumstances existing at such
time, represents the amount that can reasonably be expected to become an actual or matured liability.

 

“Stock”
means shares of capital stock, beneficial or partnership interests, participations or other
equivalents (regardless of how designated) of or in a corporation or equivalent entity, whether voting or non-voting, and includes,
without limitation, common stock, but excluding any preferred stock or other preferred equity securities.

 

“Stock
Equivalents” means all securities (other than Stock) convertible into or
exchangeable for Stock at the option of the holder, and all warrants, options or other rights to purchase or subscribe for any
stock, whether or not presently convertible, exchangeable or exercisable.

 

“Subsidiary”
means, as to any particular parent corporation or organization, any other corporation or
organization more than 50% of the outstanding Voting Stock of which is at the time directly or indirectly owned by such parent
corporation or organization or by any one or more other entities which are themselves subsidiaries of such parent corporation or
organization. Unless otherwise expressly noted herein, the term “Subsidiary”
means a Subsidiary of Global Medical REIT or the Borrower or of any of their direct or indirect Subsidiaries.

 

“Swap
Obligation” means, with respect to any Guarantor, any obligation to pay
or perform under any agreement, contract or transaction that constitutes a “swap” within the meaning of section 1a(47)
of the Commodity Exchange Act.

 

“Swing
Line” means the credit facility for making one or more Swing Loans described
in Section 1.2 hereof. 

 

    	 	46	 

    

    

 

to
discuss its affairs, finances, and accounts with, and to be advised as to the same by, its officers, employees and independent
public accountants (and by this provision the Borrower hereby authorizes such accountants to discuss with eitherany
of the Arrangers (or any of their affiliates) the finances and affairs of Global Medical REIT, the Borrower and its Subsidiaries)
at such reasonable times as the Administrative Agent may designate, with reasonable prior notice to the Borrower and no more often
than once in any period of twelve (12) consecutive months unless an Event of Default has occurred and is continuing. In addition,
the Administrative Agent may, and at the direction of the Required Lenders, shall, obtain updated Appraisals of any Borrowing Base
Property, or portions thereof, from time to time as the Administrative Agent and/or the Required Lenders may designate, which Appraisal
shall in each case be in such format and contain such detail as the Administrative Agent may request. The costs and expenses incurred
in obtaining any such Appraisal shall in each case be borne by the Borrower, provided that
the Borrower shall not be required to pay for more than one (1) Appraisal for each Borrowing Base Property in any period of twelve
(12) consecutive months unless an Event of Default has occurred and is continuing. The Administrative Agent shall use reasonable
efforts to coordinate inspections undertaken in accordance with this Section 8.6 to (i) minimize the administrative burden of such
inspections on Global Medical REIT, the Borrower and their Subsidiaries, (ii) minimize the interference with the business of Global
Medical REIT, the Borrower and their Subsidiaries and (iii) not disturb the occupancy of any Real Property by any Tenant. As soon
as practicable after the request of the Administrative Agent (which request shall be given by the Administrative Agent at the request
of the Required Lenders), the Borrower shall deliver a current property condition report, in form and substance reasonably acceptable
to Administrative Agent from an independent engineering or architectural firm reasonably acceptable to Administrative Agent, with
respect to any Borrowing Base Property specified by Administrative Agent, that, in the reasonable determination of the Administrative
Agent, has a maintenance or structural issue that would materially and adversely affect the value or use of such Eligible Property,
provided that the Borrower shall not be required to pay for more than one (1) property
condition report for each Borrowing Base Property in any period of twelve (12) consecutive months unless an Event of Default has
occurred and is continuing.

 

Section
8.7.      Liens. The Borrower shall not, nor shall it permit Global Medical REIT or
any Subsidiary to, create, incur or permit to exist any Lien of any kind on any Property owned by any such Person, other than Permitted
Liens.

 

Section
8.8.      Investments, Acquisitions, Loans and Advances. The Borrower shall not, nor
shall it permit Global Medical REIT or any Subsidiary to (i) directly or indirectly, make, retain or have outstanding any investments
(whether through the purchase of stock or obligations or otherwise) in any Person, real property or improvements on real property,
or any loans, advances, lines of credit, mortgage loans or other financings (including pursuant to sale/leaseback transactions)
to any other Person, or (ii) acquire any real property, improvements on real property or all or any substantial part of the assets
or business of any other Person or division thereof; provided, however, that the foregoing
shall not apply to nor operate to prevent, with respect to Global Medical REIT, the Borrower or any Subsidiary, any of the following:

 

(a)
     investments in direct obligations of the United States of America or of any agency or instrumentality thereof whose obligations
constitute full faith and credit obligations of the United States of America, provided that any such obligations shall mature within
one (1) year of the date of issuance thereof;

 

    	 	65	 

    

    

 

	 	GMR Clermont, LLC
	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Great Bend, LLC
	 	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Altoona, LLC
	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 
	 	GMR Mesa. LLC
	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Oklahoma City, LLC
	 	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 

 

[Signature Page to Credit
Agreement-Global Medical REIT L.P.]

 

     

    

    

 

	 	GMR Brockport, LLC
	 	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Flower Mound, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Sherman, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Lubbock, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Germantown, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Austin, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 

 

[Signature Page to Credit
Agreement-Global Medical REIT L.P.]

 

     

    

    

 

	 	GMR Albertville, LLC
	 	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Fort Worth, LLC
	 	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Moline, LLC
	 	 	 	 
	 	By	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Fremont, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Amarillo, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 

 

[Signature Page to Credit
Agreement-Global Medical REIT L.P.]

 

     

    

    

 

	 	GMR Lee’s Summit, LLC
	 	 	 	 
	 	By	 
	 	 	Name	
	 	 	Title	
	 	 	 	 
	 	GMR Saint George, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 
	 	 	 	 
	 	GMR Wyomissing, LLC
	 	 	 	 
	 	By	 	 
	 	 	Name	 
	 	 	Title	 

 

[Signature Page to Credit
Agreement-Global Medical REIT L.P.]

 

     

    

    

 

Schedule
I

 

Commitments

 

	Lender	 	Commitment
	 	 	 
	BMO Harris Bank N.A.	 	$55,000,00077,000,000
	Citizens Bank, N.A.	 	$37,500,00060,000,000
	SunTrust Bank	 	$37,500,00060,000,000
	KeyBank
    National Association	 	$60,000,000
	The Huntington National Bank	 	$20,000,00035,000,000
	Comerica Bank	 	$15,000,00020,000,000
	KeyBank National Association	 	$15,000,000
	Franklin Synergy Bank	 	$10,000,00015,000,000
	Branch Banking and Trust Company	 	$10,000,00013,000,000
	Total:	 	$200,000,000340,000,000

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