Document:

Exhibit 4.1

 

THIS SECOND SUPPLEMENTAL INDENTURE, dated as of March 29, 2011, (this “Second Supplemental Indenture”), is entered into by and among GLOBAL AVIATION HOLDINGS INC., NORTH AMERICAN AIRLINES, INC. AND WORLD AIRWAYS, INC. (collectively the “Issuers”) and WELLS FARGO BANK, NATIONAL ASSOCIATION, as trustee and as collateral agent (the “Trustee”).

 

WHEREAS, the Issuers and the Trustee are parties to that certain Indenture dated as of August 13, 2009, as amended by that certain First Supplemental Indenture, dated as of September 28, 2009, governing the issuance of the Issuers’ 14% Senior Secured First Lien Notes due 2013 (as amended, restated, supplemented or otherwise modified from time to time, the “Indenture”);

 

WHEREAS, Section 9.01 of the Indenture provides that the Issuers, any Guarantor and the Trustee or Collateral Agent, as applicable, may amend or supplement the Indenture without the consent of any Holder of Notes to allow any Wholly Owned Domestic Restricted Subsidiary created after the Issue Date to become a Guarantor and to execute a supplemental indenture with respect to the Notes and take such further actions as may be required by the terms of the Indenture or by the Trustee or the Collateral Agent;

 

WHEREAS, Section 9.02 of the Indenture provides that the Issuers and the Trustee, to the extent authorized thereby, may enter into a supplemental indenture for the purpose of waiving, supplementing or amending certain of the provisions of the Indenture with the consent of the holders of not less than a majority in principal amount of the Notes then outstanding;

 

WHEREAS, the Issuers intend by this Second Supplemental Indenture to add Global Shared Services, Inc., a Delaware corporation and newly incorporated Restricted Subsidiary of Parent (“GSS”) as a Guarantor under the Indenture (the “Supplemental Guarantee”), and to waive or amend (i) compliance with certain requirements set forth in the definition of “Permitted Investments” and (ii) the definition of Consolidated Cash Flow (collectively, the “Waivers and Amendments”);

 

WHEREAS, the board of directors of each of the Issuers and of GSS has approved the Supplemental Guarantee and the Waivers and Amendments, as applicable; and

 

WHEREAS, the Issuers hereby certify to the Trustee that the Holders of not less than a majority in aggregate principal amount of the Notes outstanding have approved the Waivers and Amendments and consented to the execution and delivery of the Second Supplemental Indenture with respect to the Waivers and Amendments, and all other actions required to be taken under the Indenture with respect to this Second Supplemental Indenture have been taken.

 

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

 

ARTICLE ONE
 Definitions

 

SECTION 1.  Definitions.  Capitalized terms used in this Second Supplemental Indenture and not otherwise defined herein shall have the meanings ascribed to them in the Indenture.

 

 

ARTICLE TWO
 Waivers and Amendments

 

SECTION 2.1 The provisions of Section 1.01, Defined Terms, “Permitted Investments”, and Section 4.07(a)(iv), Limitations on Restricted Payments, are hereby waived to permit as a Permitted Investment the Investment of an amount not to exceed $4,000,000 by Parent with and into Global Aviation Ventures SPV LLC, a Delaware limited liability company (the “SPV”), or another Restricted Subsidiary and the subsequent loan by the SPV or such other Restricted Subsidiary of funds up to such amount to the trustees under the Liquidating Trust Agreement for the ATA Plan Trust (the “ATA Plan Trustee”), in respect of the estate of ATA Airlines, Inc. to enable the ATA Plan Trustee to incur and pay expenses, including attorneys fees, expert witness fees, court costs and related expenses reasonably necessary for the pursuit of the ATA Assets, which loan shall be evidenced by an unconditional promissory note payable by the ATA Plan Trustee to the SPV or such other Restricted Subsidiary, accruing interest at the rate of 15% per annum, and  with the entire principal amount of such loan being due and payable on  the earliest of (i) forty-five (45) days following the payment to the ATA Plan Trustee of an aggregate amount sufficient to pay the amounts due pursuant to such note, (ii) February 15, 2013, or (iii) upon demand by the SPV or such other Restricted Subsidiary.

 

SECTION 2.2 Section 1.01, Defined Terms, is hereby amended by replacing in its entirety subsection (f) and the insertion of new subsections (g) and (h) under clause (ii) of the defined term “Consolidated Cash Flow” to provide for certain additional amounts to be included in the calculation thereof for any Test Period ending on or after December 31, 2010 and to read as follows:

 

(f)       expenses or charges relating to the parking or subleasing of aircraft (I) paid or accrued in 2009 in an aggregate amount not to exceed $5.0 million or (II) paid or accrued in 2010 in an aggregate amount not to exceed $9.0 million;

 

(g)       Solely for the purposes of Section 4.19, aircraft maintenance expenses incurred during such period in an amount not to exceed the amounts that are contributed, reimbursed or reimbursable to the Issuers with respect to such expenses from (i) payments made by the Issuers into Lessor Maintenance Reserve Accounts with respect to flight activity which occurred on or prior to July 31, 2009 or (ii) payments made or amounts contributed or to be contributed by lessors for aircraft maintenance expenses pursuant to obligations that existed on or prior to July 31, 2009; and

 

(h)       Solely for purposes of Section 4.19, any fees, expenses or charges for such period related to (I) the proposed public offering of Parent common stock pursuant to Parent’s Form S-1 registration statement filed with the SEC (SEC File No. 333-167842) and (II) the negotiation and preparation of any supplemental indentures, amendments or waivers with respect to the Indenture or the Second Lien Credit Agreement, such fees, expenses or charges not to exceed in the aggregate $3,300,000.

 

ARTICLE THREE
 Supplemental Guarantee

 

In accordance with Section 4.21 of the Indenture, GSS hereby unconditionally Guarantees, on a senior secured basis, all of the Issuers’ Obligations under the Indenture

 

2

 

Documents on the terms set forth in the Indenture, and agrees to take such other actions as are required under Section 4.21 of the Indenture and to be bound by all applicable provisions of the Indenture.

 

ARTICLE FOUR
 Miscellaneous Provisions

 

SECTION 4.1 Ratification of Original Indenture.  This Second Supplemental Indenture is executed and shall be construed as an indenture supplemental to the Indenture, and as supplemented and modified hereby, the indenture is in all respects ratified and confirmed, and the Indenture and this Second Supplemental Indenture shall be read, taken and construed as one and the same instrument.  Notwithstanding anything herein to the contrary, to the extent that any provision of this Second Supplemental indenture is inconsistent with any provision of the Indenture, the terms of this Second Supplemental Indenture shall govern and apply to the Notes.

 

SECTION 4.2 Amendment Fee.  The Issuers shall pay to the Holders of the Notes a cash payment in the aggregate amount of $18.75 for each $1,000 in principal amount of Notes held in consideration for this Second Supplemental Indenture becoming effective.

 

SECTION 4.3 GOVERNING LAW.  THE INTERNAL LAW OF THE STATE OF NEW YORK WILL GOVERN AND BE USED TO CONSTRUE THIS SECOND SUPPLEMENTAL INDENTURE, WITHOUT GIVING EFFECT TO THE APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

 

SECTION 4.4 Counterpart Originals.  The parties may sign any number of copies or counterparts of this Second Supplemental Indenture.  Each signed copy or counterpart will be an original, but all of them together represent the same agreement.  The exchange of copies of this Second Supplemental Indenture and of signature pages by facsimile, PDF or other electronic transmission shall constitute effective execution and delivery of this Second Supplemental Indenture as to the parties hereto and may be used in lieu of the original Second Supplemental indenture for all purposes.  Signatures of the parties hereto transmitted by facsimile or PDF shall be deemed to be their original signatures for all purposes.

 

SECTION 4.5 Successors.  All agreements of the Issuers in this Second Supplemental Indenture will bind their respective successors.  All agreements of the Trustee in this Second Supplemental Indenture will bind its respective successors.

 

SECTION 4.6 Headings.  The headings of the Articles and Sections of this Second Supplemental Indenture have been inserted for convenience of reference only, are not to be considered a part of this Second Supplemental Indenture and shall in no way modify or restrict any of the terms or provisions hereof.

 

SECTION 4.7 Severability.  In case any provision in this Second Supplemental Indenture is invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions will not in any way be affected or impaired thereby.

 

[Signature Page Follows]

 

3

 

IN WITNESS WHEREOF, the parties hereto have caused this Second Supplemental Indenture to be duly executed and delivered, all as of the date first written above.

 

 

	
 
    	
GLOBAL   AVIATION HOLDINGS INC.
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   William A. Garrett
    
	
 
    	
Name:
    	
William   A. Garrett
    
	
 
    	
Title:
    	
Executive   Vice President and Chief Financial Officer
    
	
 
    	
 
    	
 
    
	
 
    	
NORTH   AMERICAN AIRLINES, INC.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Brian S. Gillman
    
	
 
    	
Name:
    	
Brian   S. Gillman
    
	
 
    	
Title:
    	
Senior   Vice President and General Counsel
    
	
 
    	
 
    
	
 
    	
WORLD   AIRWAYS, INC.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Brian S. Gillman
    
	
 
    	
Name:
    	
Brian   S. Gillman
    
	
 
    	
Title:
    	
Senior   Vice President and General Counsel
    
	
 
    	
 
    
	
 
    	
GLOBAL   SHARED SERVICES, INC.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Brian S. Gillman
    
	
 
    	
Name:
    	
Brian   S. Gillman
    
	
 
    	
Title:
    	
Senior   Vice President and General Counsel
    

 

[Issuers’ and GSS Signature Page to the Second Supplemental Indenture]

 

 

	
 
    	
WELLS   FARGO BANK, NATIONAL ASSOCIATION,
    
	
 
    	
As   Trustee and Collateral Agent
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Stefan Victory
    
	
 
    	
Name:
    	
Stefan   Victory
    
	
 
    	
Title:
    	
Vice   President
    

 

[Trustee’s Signature Page to the Second Supplemental Indenture]Exhibit 4.2

 

SECOND AMENDMENT AND WAIVER

TO

SECOND-LIEN TERM LOAN

CREDIT AGREEMENT

 

THIS SECOND AMENDMENT AND WAIVER TO SECOND-LIEN TERM LOAN CREDIT AGREEMENT (the “Second Amendment”) is entered into effective as of March 29, 2011, by and among Global Aviation Holdings Inc., a Delaware corporation (“Parent”), North American Airlines, Inc., a Delaware corporation (“NAA”), and World Airways, Inc., a Delaware corporation (“WAI” and, together with the Parent and NAA, the “Borrowers” and each a “Borrower”), the Guarantors (“Guarantors”) and the Lenders (“Lenders”) party to the Credit Agreement described below and Wells Fargo Bank, National Association (the “Agent”), as administrative agent for the Lenders (in such capacity, the “Administrative Agent”) and as collateral agent for the Secured Parties (in such capacity, the “Collateral Agent”).

 

WITNESSETH:

 

WHEREAS, Borrowers, Guarantors, Lenders, Administrative Agent and Collateral Agent heretofore entered into that certain Second-Lien Term Loan Credit Agreement, dated as of September 29, 2009 (the “Original  Credit Agreement”), as amended by that certain First Amendment to Second-Lien Term Loan Credit Agreement dated as of August 30, 2010, (together with the Original Credit Agreement, the  “Credit Agreement”) pursuant to which Lenders made a loan to Borrowers in the aggregate principal amount of $72,500,000 (the “Loan”) subject to and upon terms, covenants and conditions contained therein; and

 

WHEREAS, the parties hereto now desire to amend the Credit Agreement in certain respects and to waive certain covenants as set forth below.

 

NOW, THEREFORE, in consideration of these premises, the promises, mutual covenants and agreements contained in this Second Amendment, and fully intending to be legally bound by this Second Amendment, the parties hereto hereby agree as follows:

 

1.                                      Definitions.

 

Unless otherwise specifically defined herein, all defined terms used in this Second Amendment shall have their respective meanings set forth in the Credit Agreement.

 

2.                                      Waivers and Amendments.

 

a.                                      The provisions of Section 1.01, Defined Terms, “Permitted Investment”, and Section 5.05, Restricted Payments, are hereby waived to permit as a Permitted Investment the Investment of an amount not to exceed $4,000,000 by Parent with and into Global Aviation Ventures SPV LLC, a Delaware limited liability company (the “SPV”), or another Restricted Subsidiary that is a Guarantor and grantor under the Security Agreement and the subsequent loan by the SPV or such other Restricted Subsidiary of funds up to such amount to the trustees under the Liquidating Trust Agreement for the ATA Plan Trust (the “ATA Plan Trustee”), in respect of the estate of ATA Airlines, Inc. to enable the ATA Plan Trustee to incur and pay expenses,

 

 

including attorneys fees, expert witness fees, court costs and related expenses reasonably necessary for the pursuit of the ATA Assets, which loan shall be evidenced by an unconditional promissory note payable by the ATA Plan Trustee to the SPV or such other Restricted Subsidiary, accruing interest at the rate of 15% per annum, and  with the entire principal amount of such loan being due and payable on  the earliest of (i) forty-five (45) days following the payment to the ATA Plan Trustee of an aggregate amount sufficient to pay the amounts due pursuant to such note, (ii) February 15, 2013, or (iii) upon demand by the SPV or such other Restricted Subsidiary (the “Note”).

 

b.                                      Section 1.01, Defined Terms, is hereby amended by replacing in its entirety subsection (f) and the insertion of new subsections (g) and (h) under clause (ii) of the defined term “Consolidated Cash Flow” to provide for certain additional amounts to be included in the calculation thereof for any Test Period ending on or after December 31, 2010 and to read as follows:

 

(f)                                   expenses or charges relating to the parking or subleasing of aircraft (I) paid or accrued in 2009 in an aggregate amount not to exceed $5.0 million or (II) paid or accrued in 2010 in an aggregate amount not to exceed $9.0 million;

 

(g)                                  Solely for the purposes of Section 5.15, aircraft maintenance expenses incurred during such period in an amount not to exceed the amounts that are contributed, reimbursed or reimbursable to the Borrowers with respect to such expenses from (i) payments made by the Borrowers into Lessor Maintenance Reserve Accounts with respect to flight activity which occurred on or prior to July 31, 2009 or (ii) payments made or amounts contributed or to be contributed by lessors for aircraft maintenance expenses pursuant to obligations that existed on or prior to July 31, 2009; and

 

(h)                                 Solely for purposes of Section 5.15, any fees, expenses or charges for such period related to (I) the proposed public offering of Parent common stock pursuant to Parent’s Form S-1 registration statement filed with the SEC (SEC File No. 333-167842) and (II) the negotiation and preparation of any supplemental indentures, amendments or waivers with respect to the Senior Note Indenture or the Agreement, such fees, expenses or charges not to exceed in the aggregate $3,300,000.

 

3.                                      Representations and Warranties of the Borrowers.

 

Borrowers represent and warrant to the Lenders and the Agent (both before and after giving effect to this Second Amendment) that:

 

a.                                      Each of the Borrowers has the corporate power and authority, and the legal right, to execute, deliver and perform this Second Amendment.

 

b.                                      Each of the Borrowers has taken all necessary corporate action to authorize the execution, delivery and performance of this Second Amendment.

 

c.                                       No consent or authorization of, filing with, notice to or other act by, or in respect of, any Governmental Authority or any other Person is required in connection with this Second Amendment or the execution, delivery, performance, validity or enforceability of this Second

 

2

 

Amendment, or the performance, validity or enforceability of the Credit Agreement except consents, authorizations, filings and notices which have been obtained or made and are in full force and effect.

 

d.                                      This Second Amendment has been duly executed and delivered on behalf of the Borrowers.  This Second Amendment and the Credit Agreement as amended and supplemented thereby constitute the legal, valid and binding obligations of the Borrowers and are enforceable against the Borrowers in accordance with their terms except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting the enforcement of creditors’ rights generally and by general equitable principles (whether enforcement is sought by proceedings in equity or at law.

 

e.                                       Neither an Event of Default, as defined in the Credit Agreement, nor any event which with the lapse of time or notice or both could become an Event of Default, has occurred and is continuing as of the date hereof.

 

f.                                        Neither the execution, delivery or performance by any Borrower of the Second Amendment nor the consummation of any transactions contemplated therein will conflict with, violate, constitute a breach of or a default (with the passage of time or otherwise) under, require the consent of any Person (other than consents already obtained and in full force and effect) under, or result in the imposition of (or the obligation to create) a Lien on any assets of any Borrower (except for existing Liens pursuant to the Collateral Agreements and the Senior Note Documents) under or pursuant to the Organizational Documents of such Borrower, any Federal, state, local or foreign statute, law (including, without limitation, common law) or ordinance, or any judgment, decree, rule, regulation or order of any Governmental Authority application to such Borrower or any of its properties or any Applicable Agreement, except for such conflicts, violations, breaches, defaults, lack of any consents or imposition of Liens that would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.  Entry by the Borrowers into and performance by the Borrowers of the Second Amendment will not result in a default under any Senior Note Document.

 

g.                                       Each of the representations and warranties set forth in Article III of the Credit Agreement is true and correct as of the date hereof in all material respects, except (i) any such representations and warranties which explicitly relate to an earlier date, which such representations and warranties were true and correct as of such date in all material respects and (ii) as disclosed in any filings by Parent with the Commission or any reports delivered by the Parent pursuant to Section 5.01 of the Credit Agreement.

 

4.                                      Effectiveness.

 

a.                                      Except to the extent specifically amended and supplemented hereby, all of the terms, conditions and provisions of the Credit Agreement, as amended, shall remain unmodified, and the Credit Agreement, as amended and supplemented by this Second Amendment, is confirmed as being in full force and effect.  By its signature below, each Guarantor hereby acknowledges its receipt of a copy of this Second Amendment and consents to the terms and conditions hereof and the transactions contemplated hereby. Each Guarantor hereby further (i) affirms and confirms its guarantees, indemnification obligations and other commitments and

 

3

 

obligations under the Credit Agreement and (ii) agrees that Article VI of the Credit Agreement and all guarantees and other commitments and obligations shall continue to be in full force and effect following the effectiveness of the Second Amendment.

 

b.                                      All references to the Credit Agreement herein or in any other document or instrument between or among any of the parties hereto shall hereafter be construed to be references to the Credit Agreement as modified by this Second Amendment.  This Second Amendment shall be and shall be deemed to be a “Loan Document” for all purposes under the Credit Agreement.

 

c.                                       The Borrowers shall pay to the Lenders $192,474.86 in consideration for this Second Amendment becoming effective (the “Amendment Fee”).  The Amendment Fee shall be added to the outstanding principal balance of the Loan.

 

d.                                      The Administrative Agent and Collateral Agent are hereby directed by the Lenders to enter into and execute this Amendment.

 

e.                                       The effective date of this Second Amendment (the “Effective Date”) shall be March 29, 2011.

 

5.                                      Further Assurances

 

Subject to the provisions of the Intercreditor Agreement and the Security Agreement, the Borrowers covenant to take all actions as may be required, or as the Administrative Agent may reasonably request, to cause the Note to be subject to a second-priority perfected lien in favor of the Collateral Agent, including delivery of possession of the Note to the Collateral Agent or to the collateral agent for the First Lien Notes.

 

6.                                      Counterparts.

 

This Second Amendment may be executed in any number of counterparts, each of which when executed and delivered shall be deemed an original, but all of which constitute one instrument. In making proof of this Second Amendment, it shall not be necessary to produce or account for more than one counterpart thereof signed by each of the parties hereto.  Delivery of an executed counterpart of this Second Amendment electronically or by facsimile shall be effective as delivery of an original executed counterpart hereof

 

7.                                      Notice of Final Agreement.

 

THIS WRITTEN AGREEMENT REPRESENTS THE FINAL AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

 

4

 

[THE REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK.]

 

5

 

IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment as of the date and year first above written.

 

 

	
BORROWERS:
    	
GLOBAL   AVIATION HOLDINGS INC.
    
	
 
    	
NORTH   AMERICAN AIRLINES, INC.
    
	
 
    	
WORLD   AIRWAYS, INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Brian S Gillman
    
	
 
    	
Name:
    	
Brian   S Gillman
    
	
 
    	
Title:
    	
Senior   Vice President and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
GUARANTORS:
    	
NEW   ATA INVESTMENT INC.
    
	
 
    	
NEW   ATA ACQUISITION INC.
    
	
 
    	
WORLD   AIR HOLDINGS, INC.
    
	
 
    	
WORLD   AIRWAYS PARTS COMPANY, LLC
    
	
 
    	
GLOBAL   AVIATION VENTURES SPV LLC
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Brian S Gillman
    
	
 
    	
Name:
    	
Brian   S Gillman
    
	
 
    	
Title:
    	
Senior   Vice President and General Counsel
    

 

Signature Page

 

1

 

	
COLLATERAL   AGENT:
    	
WELLS   FARGO BANK, NATIONAL 
    
	
 
    	
ASSOCIATION,   as Administrative Agent and 
    
	
 
    	
Collateral   Agent
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   David Bergstrom
    
	
 
    	
Name:
    	
David   Bergstrom
    
	
 
    	
Title:
    	
Vice   President
    

 

Signature Page

 

2

 

	
LENDERS:
    	
BLACKSTONE   / GSO CAPITAL SOLUTIONS
    
	
 
    	
FUND   LP, by GSO Capital Partners, LP, as
    
	
 
    	
investment   manager, as a Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Marisa J. Beeney
    
	
 
    	
Name:
    	
Marisa   J. Beeney
    
	
 
    	
Title:
    	
Authorized   Signer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
BLACKSTONE   / GSO CAPITAL SOLUTIONS
    
	
 
    	
OVERSEAS   MASTER FUND L.P., by Blackstone /
    
	
 
    	
GSO   Capital Solutions Overseas Associates LLC, as a 
    
	
 
    	
Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Marisa J. Beeney
    
	
 
    	
Name:
    	
Marisa   J. Beeney
    
	
 
    	
Title:
    	
Authorized   Signer
    
	
 
    	
 
    

 

Signature Page

 

3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00187-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00187-of-00352.parquet"}]]