Document:

Exhibit 10.4

 

FIRST AMENDMENT TO CREDIT AGREEMENT

 

This FIRST AMENDMENT TO CREDIT AGREEMENT (this “First Amendment”) is entered into as of April 1, 2015, among Dynegy Inc., a Delaware corporation (the “Borrower”), the Guarantors party hereto, the Additional Lenders and Lenders party hereto (in such capacity, each, an “Incremental Revolving Lender” and, collectively, the “Incremental Revolving Lenders”) and Credit Suisse AG, Cayman Islands Branch, as administrative agent (in such capacity, the “Administrative Agent”). Unless otherwise indicated, all capitalized terms used herein and not otherwise defined shall have the respective meanings provided such terms in the Credit Agreement referred to below.

 

RECITALS

 

WHEREAS, the Borrower, the lenders from time to time party thereto (each, a “Lender” and, collectively, the “Lenders”) and the Administrative Agent are parties to that certain Credit Agreement, dated as of April 23, 2013 (the “Credit Agreement”);

 

WHEREAS, the Borrower has previously notified the Administrative Agent that it was requesting an Incremental Revolving Commitment pursuant to Section 2.15 of the Credit Agreement;

 

WHEREAS, pursuant to Section 2.15 of the Credit Agreement, the Borrower may establish Incremental Revolving Commitments by, among other things, entering into an Incremental Amendment pursuant to the terms and conditions of the Credit Agreement (it being agreed that this First Amendment constitutes an Incremental Amendment which meets such requirements) with each Lender and/or Additional Lender agreeing to provide such Incremental Revolving Commitments and the Administrative Agent;

 

WHEREAS, the Borrower has requested that the Incremental Revolving Lenders extend credit to the Borrower in the form of Incremental Revolving Commitments in an aggregate principal amount of $350,000,000 (the “Incremental Tranche A Revolving Loan Commitments”);

 

WHEREAS, the Borrower has requested that certain of the Incremental Revolving Lenders agree to provide the Borrower with additional Letter of Credit Commitments in an aggregate principal amount of $157,500,000 (the “Additional L/C Commitments”); and

 

WHEREAS, each Incremental Revolving Lender has indicated its willingness to provide the Incremental Tranche A Revolving Loan Commitments and, to the extent applicable to such Incremental Revolving Lender, the Additional L/C Commitments, in each case, on the terms and subject to the conditions contained herein;

 

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

 

SECTION 1.  Incremental Revolving Commitments and Additional L/C Commitments.

 

(a)                           This First Amendment constitutes an Incremental Amendment pursuant to which a new Incremental Revolver and a new Class of Incremental Revolving Commitments is established pursuant to Section 2.15 of the Credit Agreement upon the occurrence of the First Amendment Effective Date (as defined below).

 

 

(b)                           Each Incremental Revolving Lender hereby severally commits to provide Incremental Tranche A Revolving Loan Commitments in the amount set forth opposite its name under the column entitled “Incremental Tranche A Revolving Loan Commitment” on Schedule I attached hereto, and, in connection with the entry into this Incremental Amendment, each Incremental Revolving Lender hereby severally agrees to increase its Letter of Credit Commitment (the “Letter of Credit Commitment Increase”) in the amount set forth opposite its name under the column entitled “Letter of Credit Commitment Increase” on Schedule I attached hereto, with each such commitment and increase to be effective as of the First Amendment Effective Date.  The parties hereby agree that on the First Amendment Effective Date (after giving effect to this Incremental Amendment)), (1) the total Incremental Tranche A Revolving Loan Commitments shall be $350,000,000, (2) the total Letter of Credit Commitment shall increase by the amount of the Letter of Credit Commitment Increase effected hereby, (3) the total Revolving Loan Commitments shall increase by the amount of the Incremental Tranche A Revolving Loan Commitments and (4) as set forth in Section 6 of this First Amendment, there shall be an automatic adjustment to the RL Percentage of each Revolving Lender in the aggregate Letter of Credit Exposure and the aggregate Swingline Loan Exposure to reflect the new RL Percentage of each Revolving Lender in the aggregate Letter of Credit Exposure and the aggregate Swingline Loan Exposure resulting from the Incremental Tranche A Revolving Loan Commitments.

 

SECTION 2.  Amendments to Credit Agreement.

 

(a)                                 Effective as of the First Amendment Effective Date, the Credit Agreement is hereby amended as follows:

 

(i)                                     The definition of “Applicable Margin” contained in Section 1 of the Credit Agreement is hereby deleted in its entirety and replaced with the following:

 

““Applicable Margin” shall mean a percentage per annum equal to (i) in the case of Initial Tranche B-1 Term Loans maintained as (A) Base Rate Loans, 2.00% and (B) LIBOR Loans, 3.00%; (ii) in the case of Initial Tranche B-2 Term Loans maintained as (A) Base Rate Loans, 2.00% and (B) LIBOR Loans, 3.00%; (iii) initially in the case of Initial Revolving Loans maintained as (A) Base Rate Loans, 1.75% and (B) LIBOR Loans, 2.75%; (iv) initially in the case of Incremental Tranche A Revolving Loans maintained as (A) Base Rate Loans, 1.75% and (B) LIBOR Loans, 2.75%, (v) initially, in the case of Unutilized Revolving Loan Commitments attributable to Initial Revolving Loan Commitments, 0.50%, (vi) initially, in the case of Unutilized Revolving Loan Commitments attributable to Incremental Tranche A Revolving Loan Commitments, the Applicable Margin in respect of Unutilized Revolving Loans attributable to Initial Revolving Loan Commitments at the time of the effectiveness of the Incremental Tranche A Revolving Loan Commitments and (vii) in the case of Swingline Loans, 1.75%.  From and after each day of delivery of any certificate delivered in accordance with the first sentence of the following paragraph indicating an entitlement to a different margin for Initial Revolving Loans, Incremental Tranche A Revolving Loans, Swingline Loans, and Unutilized Revolving Loan Commitments, attributable to Initial Revolving Loan Commitments and Incremental Tranche A Revolving Loan Commitments, than that described in the immediately preceding sentence (each, a “Start Date”) to and including the applicable End Date described below, the Applicable Margins for such Initial Revolving Loans, Incremental Tranche A Revolving Loans, Swingline Loans and Unutilized Revolving Loan Commitments, attributable to Initial Revolving Loan Commitments and Incremental Tranche A Revolving Loan Commitments (hereinafter, the “Adjustable Applicable Margins”) shall be those set forth below opposite the Senior

 

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Secured Leverage Ratio indicated to have been achieved in any certificate delivered in accordance with the following sentence:

 

	
Senior Secured
   Leverage Ratio
    	
 
    	
Unutilized
   Revolving
   Loan
 Commitment
   Margin
    	
 
    	
Initial
   Revolving
   Loan
   Base Rate
   Margin
    	
 
    	
Initial
   Revolving
   Loan
   LIBO Rate
   Margin
    	
 
    	
Incremental
   Tranche A
   Revolving
   Loan
   Base Rate
   Margin
    	
 
    	
Incremental
   Tranche A
   Revolving
   Loan
   LIBO Rate
   Margin
    	
 
    	
Swingline
   Loan
   Base Rate
   Margin
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Greater than or equal to   2.25:1.00
    	
 
    	
0.500
    	
%
    	
1.75
    	
%
    	
2.75
    	
%
    	
1.75
    	
%
    	
2.75
    	
%
    	
1.75
    	
%
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Greater than or equal to   1.75:1.00 but less than 2.25:1.00
    	
 
    	
0.375
    	
%
    	
1.50
    	
%
    	
2.50
    	
%
    	
1.50
    	
%
    	
2.50
    	
%
    	
1.50
    	
%
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
Less than 1.75:1.00
    	
 
    	
0.375
    	
%
    	
1.25
    	
%
    	
2.25
    	
%
    	
1.25
    	
%
    	
2.25
    	
%
    	
1.25
    	
%
    

 

The Senior Secured Leverage Ratio used in a determination of Adjustable Applicable Margins shall be determined based on the delivery of a certificate of the Borrower (each, a “Quarterly Pricing Certificate”) by an Authorized Officer of the Borrower to the Administrative Agent (with a copy to be sent by the Administrative Agent to each Lender), within 50 days of the last day of any Fiscal Quarter of the Borrower, which certificate shall set forth the calculation of the Senior Secured Leverage Ratio as at the last day of the Test Period ended immediately prior to the relevant Start Date (but determined on a Pro Forma Basis) and the Adjustable Applicable Margins which shall be thereafter applicable (until same are changed or cease to apply in accordance with the following sentences).  The Adjustable Applicable Margins so determined shall apply, except as set forth in the succeeding sentence, from the relevant Start Date to the earlier of (x) the date on which the next certificate is delivered to the Administrative Agent, and (y) the date which is 51 days (or 106 days in the case of the fourth Fiscal Quarter of the Borrower) following the last day of the Test Period in which the previous Start Date occurred (such earliest date, the “End Date”), at which time, if no certificate has been delivered to the Administrative Agent indicating an entitlement to new Adjustable Applicable Margins (and thus commencing a new Start Date), the Adjustable Applicable Margins shall be those set forth in the first sentence of this definition (such Adjustable Applicable Margins as so determined, the “Highest Adjustable Applicable Margins”).  Notwithstanding anything to the contrary contained above in this definition, the Adjustable Applicable Margins shall be the Highest Adjustable Applicable Margins (x) at all times during which there shall exist any Event of Default and (y) at all times prior to the date of delivery of the financial statements pursuant to Section 9.01(a) for the first full Fiscal Quarter of the Borrower following the Closing Date.

 

Notwithstanding anything to the contrary contained above in this definition or elsewhere in this Agreement, if it is subsequently determined that the Senior Secured Leverage Ratio set forth in any Quarterly Pricing Certificate delivered for any period is

 

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inaccurate for any reason and the result thereof is that the Lenders received interest for any period based on an Applicable Margin that is less than that which would have been applicable had the Senior Secured Leverage Ratio been accurately determined, then, for all purposes of this Agreement, the “Applicable Margin” for any day occurring within the period covered by such Quarterly Pricing Certificate shall retroactively be deemed to be the relevant percentage as based upon the accurately determined Senior Secured Leverage Ratio for such period, and any shortfall in the interest theretofore paid by the Borrower for the relevant period pursuant to Section 2.08(a) and (b) as a result of the miscalculation of the Senior Secured Leverage Ratio shall be deemed to be (and shall be) due and payable under the relevant provisions of Section 2.08(a) or (b), as applicable, at the time the interest for such period was required to be paid pursuant to said Section on the same basis as if the Senior Secured Leverage Ratio had been accurately set forth in such Quarterly Pricing Certificate (and shall remain due and payable until paid in full, together with all amounts owing under Section 2.08(d), in accordance with the terms of this Agreement).  Such Applicable Margin shall be due and payable on the earlier of (i) the occurrence of a Default or an Event of Default under Section 11.05 and (ii) promptly upon written demand to the Borrower (but in no event later than five (5) Business Days after such written demand); provided that in the case of preceding clause (ii), nonpayment of such Applicable Margin as a result of any inaccuracy shall not constitute a Default or Event of Default (whether retroactively or otherwise), and no such amounts shall be deemed overdue (and no amounts shall accrue interest at the applicable default rate), at any time prior to the date that is five (5) Business Days after such written demand to the Borrower.

 

The Applicable Margins with respect to any Term Loans other than Initial Term Loans, Revolving Loans other than Initial Revolving Loans and Incremental Tranche A Revolving Loans and Unutilized Revolving Loan Commitments attributable to Revolving Loan Commitments other than the Initial Revolving Loan Commitments and Incremental Tranche A Revolving Loan Commitments, shall in each case be determined in accordance with the relevant provisions of this Agreement, and shall utilize the rules provided above to the extent specified in the respective Incremental Amendment, Extension or Refinancing Amendment, as applicable.”

 

(ii)                                  The definition of “Class” contained in Section 1 of the Credit Agreement is hereby amended by inserting the text “Incremental Tranche A Revolving Loans,” immediately after the text “Initial Tranche B-2 Term Loans,” appearing therein.

 

(iii)                               The definition of “Commitment” contained in Section 1 of the Credit Agreement is hereby amended by inserting the text “, an Incremental Tranche A Revolving Loan Commitment,” immediately after the text “Initial Revolving Loan Commitment” appearing therein.

 

(iv)                              The definition of “Issuing Lender” contained in Section 1 of the Credit Agreement is hereby amended by (A) inserting the text “Barclays Bank PLC,” immediately prior to the text “Credit Suisse,” in each instance appearing therein, (B) deleting the text “and” immediately prior to the text “Royal Bank of Canada” appearing therein, (C) inserting the text “and UBS AG, Stamford Branch” immediately after the text “Royal Bank of Canada” appearing therein, (D) inserting the text “(as may be adjusted by the Borrower and each applicable Issuing Lender from time to time, each a “Letter of Credit Commitment”“ immediately after the text “the caption “Letter of Credit Commitment”“ appearing therein and (E) inserting the text “)” immediately prior to the second proviso contained therein.

 

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(v)                                 The definition of “Latest Maturity Date” contained in Section 1 of the Credit Agreement is hereby amended by (A) inserting the text “Incremental Tranche A Revolving Loan Commitments,” immediately after the text “Initial Revolving Loan Commitments” appearing therein and (B) inserting the text “other” immediately prior to the text “Incremental Revolver” appearing therein.

 

(vi)                              The definition of “Maturity Date” contained in Section 1 of the Credit Agreement is hereby amended by (A) deleting the text “or” immediately prior to the text “Initial Revolving Loan Maturity Date” appearing therein and (B) inserting the text “, or the Incremental Tranche A Revolving Loan Maturity Date” immediately after the text “Initial Revolving Loan Maturity Date” appearing therein.

 

(vii)                           The definition of “Revolving Loan Commitments” contained in Section 1 of the Credit Agreement is hereby amended by (A) inserting the text “Incremental Tranche A Revolving Loan Commitment and” immediately after the text “Initial Revolving Loan Commitment,” appearing therein and (B) inserting the text “other” immediately prior to the text “Incremental Revolving Commitment” appearing therein.

 

(viii)                        Section 1 of the Credit Agreement is hereby further amended by inserting the following definitions in the appropriate alphabetical order:

 

“First Amendment” shall mean that certain First Amendment to Credit Agreement, dated as of April 1, 2015, among the Borrower, the Guarantors party thereto, the financial institutions party thereto as Additional Lenders and Lenders, and the Administrative Agent.

 

“First Amendment Effective Date” shall mean the first date that all of the conditions precedent in Section 4 of the First Amendment are satisfied or waived in accordance with Section 4 of the First Amendment, which date is April 1, 2015.

 

“First Amendment Letter of Credit Commitment” shall mean the increase or new Letter of Credit Commitment of each Issuing Lender extended to the Borrower on the First Amendment Effective Date in connection with the effectiveness of the First Amendment (as the same may be reduced pursuant to Section 3.02(b) hereof).

 

“Incremental Tranche A Revolving Loan Commitment” shall mean, for each Lender party to this Agreement on the Closing Date, the amount set forth opposite such Lender’s name on Schedule 1.01(b) directly below the column entitled “Incremental Tranche A Revolving Loan Commitment,” as the same may from time to time be (x) reduced or terminated pursuant hereto, (y) increased (but only with the consent of the respective Lender) in accordance with the terms hereof or (z) adjusted as a result of assignments to or from such Lender pursuant hereto.

 

“Incremental Tranche A Revolving Loan Maturity Date” shall mean April 1, 2020.

 

“Incremental Tranche A Revolving Loans” shall mean all Revolving Loans made from time to time pursuant to the Incremental Tranche A Revolving Loan Commitments.

 

“Initial Letter of Credit Commitment” shall mean the Letter of Credit Commitment of each Issuing Lender as in effect on the First Amendment Effective Date immediately

 

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prior to the effectiveness of the First Amendment (as the same may be reduced pursuant to Section 3.02(b) hereof).

 

“Letter of Credit Commitment” shall have the meaning provided in the definition of Issuing Lender (as may be reduced pursuant to Section 3.02(b) hereof).

 

(ix)                              Section 2.07 of the Credit Agreement is hereby amended by inserting the text “aggregate” immediately prior to the text “Revolving Loan Commitments” appearing therein.

 

(x)                                 Section 3.02 of the Credit Agreement is hereby amended by:

 

A.                        inserting the text “(a)” immediately prior to the first sentence thereof;

 

B.                        inserting the text “then Latest” immediately prior to the text “Maturity Date” in clause (ii)(y) thereof;

 

C.                        inserting the following text immediately prior to the period at the end of the first sentence thereof:

 

“; provided that if any Letter of Credit with a stated termination date occurring after the Initial Revolving Loan Maturity Date is issued or extended by an Issuing Lender in accordance with the preceding paragraph and the Initial Revolving Loan Maturity Date would, at the time of such issuance or extension, occur within 12 months after the date of such issuance or extension, the Stated Amount of such Letter of Credit shall not exceed, when added to the sum of the aggregate Stated Amount of all Letters of Credit issued by such Issuing Lender that (x) have a stated termination date occurring after the Initial Revolving Loan Maturity Date and (y) are then outstanding, the Letter of Credit Commtiment of such Issuing Lender that will be in effect on the Initial Revolving Loan Maturity Date (calculated after giving effect to any reduction on such date pursuant to Section 3.02(b)) unless the excess amount shall have been cash collateralized or backstopped in a manner reasonably satisfactory to the applicable Issuing Lender”; and

 

D.                        inserting the following text immediately after the first sentence thereof:

 

“(b) Notwithstanding anything to the contrary contained in this Agreement, (i) in the event all or a portion of the Initial Revolving Loan Commitments are terminated (but not by way of an extension hereunder) and the aggregate Initial Letter of Credit Commitments would exceed the aggregate Initial Revolving Loan Commitments in effect immediately after such termination, the aggregate Initial Letter of Credit Commitments shall be reduced by an amount equal to the dollar amount by which the aggregate Initial Letter of Credit Commitments would exceed the aggregate Initial Revolving Loan Commitments as in effect immediately after such termination and (ii) in the event all or a portion of the Incremental Tranche A Revolving Loan Commitments are terminated (but not by way of an extension hereunder) and the aggregate First Amendment Letter of Credit Commitments would exceed the aggregate Incremental Tranche A Revolving Loan Commitments in effect immediately after such termination, the aggregate First Amendment Letter of Credit Commitments shall be reduced by an amount equal to the dollar amount by which the aggregate First Amendment Letter of Credit Commitments would exceed the aggregate Incremental Tranche A Revolving Loan Commitments as in effect immediately after such termination; provided that, in connection with any such reduction of any Letter of Credit Commitment set forth above, to the extent any Letters of

 

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Credit are then outstanding, such reduction shall be allocated among the applicable Issuing Lenders on a pro rata basis to the applicable Letter of Credit Commitment based on the relative sizes of such Letter of Credit Commitments of such Issuing Lenders; provided, further, that, to the extent such pro rata allocation would necessitate the replacement or cash collateralization of then outstanding Letters of Credit, the parties hereto agree that such reduction may be allocated on a non-pro rata basis as mutually agreed by the Administrative Agent and the Borrower in order to minimize the need to replace or cash collateralize any such then outstanding letters of Letters Credit; provided, further, that, at the time of any reduction to the Letter of Credit Commitments pursuant to this clause (b), any Issuing Lender may in its sole discretion agree that its applicable Letter of Credit Commitments not be reduced (a “Declined Reduction”) and such Declined Reduction shall not be reallocated among the other Issuing Lenders.”

 

(xi)                              Section 13.10(a) of the Credit Agreement is hereby amended by adding the following text immediately prior to the “.” at the end thereof:

 

“; provided, further, that no such change, waiver, discharge or termination  shall, without the consent of the Majority Lenders of the respective Class of RL Lenders directly and adversely affected thereby, amend, modify or waive (i) the pro rata borrowing requirement in respect of Revolving Loans set forth in Section 2.07 or (ii) the pro rata prepayment requirement with respect to Revolving Loans set forth in Section 5.01”.

 

(b)                                 Effective as of the First Amendment Effective Date, Schedule 1.01(b) of the Credit Agreement is hereby amended and restated in its entirety in the form attached hereto as Annex I hereto.

 

SECTION 3.  Reference To And Effect Upon The Credit Agreement.

 

(a)                                 From and after the First Amendment Effective Date, (i) the term “Agreement” in the Credit Agreement, and all references to the Credit Agreement in any other Credit Document, shall mean the Credit Agreement as modified hereby, and (ii) this First Amendment shall constitute a Credit Document for all purposes of the Credit Agreement and the other Credit Documents.

 

(b)                                 Each Credit Party, by its signature below, hereby confirms that (i) its Guaranty and each Security Document to which it is a party remains in full force and effect and (ii) its Guaranty and each Security Document to which it is a party covers all Obligations, in each case after giving effect to this First Amendment.

 

(c)                                  This First Amendment is limited as specified and shall not constitute a modification, acceptance or waiver of any other provision of the Credit Agreement or any other Credit Document.

 

SECTION 4.  Effectiveness.

 

(a)                                 This First Amendment shall become effective at the time (the “First Amendment Effective Date”) when each of the following conditions shall have been satisfied (or waived by the First Amendment Lead Arrangers):

 

(i)                                     this First Amendment shall have been duly executed and delivered by the Borrower, the other Credit Parties, the Incremental Revolving Lenders and the Administrative Agent;

 

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(ii)                                  prior to or substantially concurrently with the First Amendment Effective Date, the EquiPower Refinancing shall have been (or shall be) consummated;

 

(iii)                               subject to the Limited Conditionality Provision (as defined below), each of the EquiPower Target Entities, to the extent required to become a Subsidiary Guarantor pursuant to Section 9.10(d) of the Credit Agreement (determined without regard to any grace periods contained therein), shall have executed and delivered to the Administrative Agent or the Collateral Trustee (as appropriate) an Additional Guarantor Accession Agreement (as defined in the Intercreditor Agreement) and a supplement in the form of Exhibit A to the Guarantee and Collateral Agreement and the Administrative Agent shall have received (in each case subject to the Limited Conditionality Provision):

 

A.                                    customary closing certificates with respect to the EquiPower Target Entities that become Credit Parties on the First Amendment Effective Date in form and substance consistent with those delivered on the Closing Date pursuant to Section 6.03(a) of the Credit Agreement, (w) a good standing certificate (or local equivalent) from the jurisdiction of organization of each EquiPower Target Entity that becomes a Credit Party on the First Amendment Effective Date dated as of a recent date, (x) a Notice of Borrowing (solely to the extent Revolving Loans in respect of the Incremental Tranche A Revolving Loan Commitments are to be made on the First Amendment Effective Date (it being agreed that no Notice of Borrowing or notice of repayment shall be required in connection with the borrowings and adjustments set forth in Section 6 hereof)), (y) a customary legal opinion received from White & Case LLP, New York counsel to the Credit Parties, and addressed to the Administrative Agent, the Collateral Trustee and the Incremental Revolving Lenders and dated the First Amendment Effective Date, and (z) the results of UCC, tax and judgment lien searches with respect to each of the EquiPower Target Entities that become Credit Parties on the First Amendment Effective Date run in the jurisdiction of formation of each such EquiPower Target Entity;

 

B.                                    a solvency certificate from the chief financial officer (or other officer with reasonably equivalent responsibilities) of the Borrower substantially in the form of Exhibit F to the Credit Agreement; and

 

C.                                    the other documents and instruments required to be delivered pursuant to Section 9.10(d) of the Credit Agreement (without giving regard to the deadlines for delivery set forth therein but subject to the Limited Conditionality Provision) necessary to establish that the Administrative Agent will have perfected security interests in the Collateral to be acquired on the First Amendment Effective Date pursuant to the EquiPower Transactions;

 

(iv)                              substantially concurrently with the effectiveness of the Incremental Tranche A Revolving Loan Commitments, the EquiPower Finance Sub Merger and the EquiPower Escrow Release, the EquiPower Acquisition shall be consummated in accordance with the terms of the EquiPower Acquisition Agreement, but without giving effect to any amendments, waivers or consents by the Borrower that are materially adverse to the interests of the Incremental Revolving Lenders or the First Amendment Lead Arrangers in their respective capacities as such without the consent of the First Amendment Lead Arrangers, such consent not to be unreasonably withheld, delayed or conditioned (it being understood that the granting of any consent under the EquiPower Acquisition Agreement that is not materially adverse to the interests of the Incremental Revolving

 

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Lenders or the First Amendment Lead Arrangers shall not otherwise constitute an amendment or waiver);

 

(v)                                 the EquiPower Acquisition Agreement Representations and EquiPower Specified Representations shall be true and correct in all material respects;

 

(vi)                              since August 21, 2014, no EquiPower Acquisition Funding Date Material Adverse Effect shall have occurred and be continuing;

 

(vii)                           the First Amendment Lead Arrangers shall have received (a) the audited financial statements, including combined balance sheets, statements of operations, statements of cash flows, statements of stockholder equity of the Combined Acquired Companies (as defined in the EquiPower Acquisition Agreement), for the twelve-month periods ended December 31, 2011, 2012 and 2013, (b) unaudited financial statements, including consolidated balance sheets, statements of operations and statements of cash flows of the Combined Acquired Companies, as of and for the nine months ended September 30, 2013 and 2014, (c) unaudited financial statements, including consolidated balance sheets, statements of operations and statements of cash flows of the Combined Acquired Companies, as of and for the six months ended June 30, 2013 and 2014, and (d) a pro forma consolidated balance sheet and related pro forma statement of income of the Borrower as of the last day of and for the most recently completed four fiscal quarter (or longer) period ending prior to the First Amendment Effective Date for which financial statements were required to be delivered pursuant to preceding clause (c), prepared after giving effect to the EquiPower Transactions as if the EquiPower Transactions had occurred as of such date (in the case of such balance sheet) or at the beginning of such period (in the case of the statement of income) (it being agreed that the filing by the Borrower with the SEC of the pro forma financial statements contained in the Form 8K filed by the Borrower on December 2, 2014 satisfy this clause (d) for all purposes hereof);

 

(viii)                        all fees required to be paid on the First Amendment Effective Date and all expenses required to be paid on the First Amendment Effective Date, in each case, in connection with the incurrence of the Incremental Tranche A Revolving Loan Commitments and, in the case of expenses, to the extent invoiced at least two (2) business days prior to the First Amendment Effective Date, shall have been paid;

 

(ix)                              all documentation and other information required by regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including, without limitation, the PATRIOT Act, that has been reasonably requested by the Incremental Revolving Lenders at least ten (10) days in advance of the First Amendment Effective Date shall have been received by the First Amendment Lead Arrangers at least three Business Days prior to the First Amendment Effective Date; and

 

(x)                                 the conditions precedent to the incurrence of Incremental Revolving Commitments set forth in Section 2.15(a)(ii), (iv) and (v) of the Credit Agreement shall have been satisfied.

 

(b)                           Notwithstanding anything in this First Amendment or any letter agreement or other undertaking concerning the financing of the transactions contemplated by this First Amendment to the contrary, (a) the terms of the documentation entered into in connection with the establishment of the Incremental Tranche A Revolving Loan Commitments shall be in a form such that they do not impair the availability of the Incremental Tranche A Revolving Loan Commitments on the First Amendment Effective Date if the conditions set forth in Section 4(a) hereof are satisfied or waived by the First

 

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Amendment Lead Arrangers (and, if applicable, waived in accordance with the terms of the Credit Agreement), it being understood that, (1) to the extent any lien search or Collateral (including the creation or perfection of any security interest) is not or cannot be provided on the First Amendment Effective Date (other than, (i) a lien on Collateral that may be perfected solely by the filing of a financing statements under the UCC and (ii) a pledge of the equity interests in the EquiPower Target Entities directly acquired by the Buyer on the First Amendment Effective Date and constituting Collateral required to be pledged under the Credit Agreement with respect to which a lien may be perfected by the delivery of a stock (or equivalent) certificate) after the Borrower’s use of commercially reasonable efforts to do so without undue burden or expense, then the provision and/or perfection of such lien search or Collateral shall not constitute a condition precedent to the availability and initial funding of the Incremental Tranche A Revolving Loan Commitments on the First Amendment Effective Date but may instead be delivered and/or perfected within 60 days (or, with respect to any Mortgage, 90 days) (or, in each case, such longer period as the Administrative Agent may agree in its reasonable discretion) after the First Amendment Effective Date pursuant to arrangements consistent with the requirements of Section 9.10 of the Credit Agreement and (2) without limitation of clause (1), with respect to guarantees and security to be provided by the EquiPower Target Entities as set forth in Section 4(a)(iii) that are required to become Guarantors, if such guarantees and security cannot be provided as a condition precedent because the directors or managers of such entities have not authorized such guarantees and security and the elections of new directors or managers to authorize such guarantees and security has not taken place prior to the First Amendment Effective Date (such guarantees and security, “Duly Authorized Guarantees and Security” and any such entity subject to such limitation referenced to in this clause (2), each, a “Deferred Loan Party”), such elections shall take place, such authorizations shall be provided and such Duly Authorized Guarantees and Security (and the documentation required to be delivered by such Deferred Loan Parties pursuant to Section 4(a)(iii)) shall be provided no later than 5:00 p.m. (New York City time) on the First Amendment Effective Date, and (c) the only conditions (express or implied) to the availability of the Incremental Tranche A Revolving Loan Commitments on the First Amendment Effective Date are those expressly set forth in Section 4(a) hereof, and such conditions shall be subject in all respects to the provisions of this Section 4(b).  This paragraph and the provisions contained herein are referred to in this First Amendment as the “Limited Conditionality Provision”.

 

SECTION 5.  Definitions. As used in this First Amendment, the following terms have the meaning specified below:

 

“Buyer” means, collectively, the Brayton Group Buyer and the EquiPower Group Buyer.

 

“Brayton Group Buyer” means Dynegy Resource III, LLC, a Delaware limited liability company and an indirect Wholly-Owned Domestic Subsidiary of the Borrower that is a Restricted Subsidiary and that is or will (on or prior to the First Amendment Effective Date) become a Subsidiary Guarantor.

 

“Brayton Group Merger Sub” means Dynegy Resource III-A, LLC, a Delaware limited liability company, and an indirect Wholly-Owned Domestic Subsidiary of the Borrower.

 

“Brayton Group Sellers” means, collectively, Energy Capital Partners GP II, LP, a Delaware limited partnership, Energy Capital Partners II, LP, a Delaware limited partnership, Energy Capital Partners II-A, LP, a Delaware limited partnership, Energy Capital Partners II-B, LP, a Delaware limited partnership, Energy Capital Partners II-D, LP, a Delaware limited partnership, and Energy Capital Partners II-C (Cayman), L.P., a Cayman Islands limited partnership.

 

“Brayton Group Target Entities” means, collectively, Brayton Point Holdings, LLC, a Delaware limited liability company and Brayton Point Energy, LLC, a Virginia limited liability company.

 

10

 

 

“EquiPower Acquisition” means the purchase by the Borrower, indirectly through the Buyer, of all of the issued and outstanding shares of capital stock and membership interests of the EquiPower Target Entities.

 

“EquiPower Acquisition Agreement” means, collectively, (i) the Stock Purchase Agreement, dated August 21, 2014 (together with the exhibits and disclosure schedules thereto, the “EquiPower Group Acquisition Agreement”), among the Borrower, the EquiPower Group Buyer, EquiPower Resources Corp. and the EquiPower Group Sellers and (ii) the Stock Purchase Agreement and Plan of Merger, dated August 21, 2014 (together with the exhibits and disclosure schedules thereto) among the Brayton Group Buyer, the Brayton Group Merger Sub, Brayton Point Holdings, LLC, and the Brayton Group Sellers.

 

“EquiPower Acquisition Agreement Representations” shall mean such of the representations made by or on behalf of the EquiPower Target Entities in the EquiPower Acquisition Agreement as are material to the interests of the Lenders, but only to the extent that the Borrower or the Borrower’s applicable Affiliate has the right to terminate its obligations under the EquiPower Acquisition Agreement or refuse to consummate the EquiPower Acquisition as a result of a breach of such representations in the EquiPower Acquisition Agreement.

 

“EquiPower Acquisition Funding Date Material Adverse Effect” means a Material Adverse Effect (as defined in the EquiPower Acquisition Agreement).

 

“EquiPower Escrow Release” means the release from escrow of the proceeds of the EquiPower Finance Sub Notes and the application of the proceeds of the EquiPower Finance Sub Notes to fund the EquiPower Acquisition.

 

“EquiPower Finance Sub” means Dynegy Finance II, Inc., a wholly-owned Unrestricted Subsidiary of the Borrower.

 

“EquiPower Finance Sub Merger” means the merger of EquiPower Finance Sub with and into the Borrower.

 

“EquiPower Finance Sub Notes” means EquiPower Finance Sub’s (a) 6.75% Senior Notes due 2019, (b) 7.375% Senior Notes due 2022 and (c) 7.625% Senior Notes due 2024, in each case, issued pursuant to an Indenture dated October 27, 2014 between EquiPower Finance Sub, as issuer, and the other parties thereto, as amended, modified or supplemented from time to time in accordance with the terms thereof.

 

“EquiPower Group Buyer” means Dynegy Resource II, LLC, a Delaware limited liability company and an indirect Wholly-Owned Domestic Subsidiary of the Borrower that is a Restricted Subsidiary and that is or will (on or prior to the First Amendment Effective Date) become a Subsidiary Guarantor.

 

“EquiPower Group Sellers” means, collectively, Energy Capital Partners II, LP, Energy Capital Partners II-A, LP, Energy Capital Partners II-B, LP, Energy Capital Partners II-C (Direct IP), LP, a Delaware limited partnership, Energy Capital Partners II-D, LP and Energy Capital Partners II (EquiPower Co-Invest), LP, a Delaware limited partnership.

 

“EquiPower Group Target Entities” means EquiPower Resources Corp. and its Subsidiaries, as set forth in the EquiPower Group Acquisition Agreement.

 

11

 

“EquiPower Refinancing” means the repayment, redemption, defeasance, discharge, refinancing or termination (or irrevocable notice for the repayment or redemption) of all existing third party debt for borrowed money of the EquiPower Target Entities and the release and discharge of all security and guarantees in respect thereof other than indebtedness, security and guarantees permitted to remain outstanding under the Credit Agreement after the First Amendment Effective Date.

 

“EquiPower Specified Representations” means the representations and warranties set forth in the Credit Agreement made with respect to the Borrower and the Guarantors relating to: organizational existence; organizational power and authority (as it relates to due authorization, execution and delivery of this First Amendment); due authorization, execution and delivery of this First Amendment, and enforceability, in each case, as it relates to entering into and performance under this First Amendment; solvency on the First Amendment Effective Date (after giving effect to the EquiPower Transactions) of the Borrower and its subsidiaries taken as a whole; no conflicts of this First Amendment with charter documents; Federal Reserve margin regulations; the Investment Company Act; the PATRIOT Act; OFAC; FCPA and, subject to the Limited Conditionality Provision, the validity and perfection of security interests with respect to the Collateral to be acquired on the First Amendment Effective Date pursuant to the EquiPower Transactions (subject in all respects to security interests and liens permitted under the Credit Agreement).

 

“EquiPower Target Entities” means, collectively, the Brayton Group Target Entities and the EquiPower Group Target Entities.

 

“EquiPower Transactions” means (a) the EquiPower Acquisition, (b) the Borrower obtaining the Incremental Tranche A Revolving Loan Commitments, (c) the EquiPower Finance Sub Merger and EquiPower Escrow Release, (d) the EquiPower Refinancing and (e) the payment of fees, premiums, expenses and other transaction costs incurred in connection with preceding clauses (a) through (d), including to fund any original issue discount and upfront fees.

 

“First Amendment Lead Arrangers” means Morgan Stanley Senior Funding, Inc., Barclays Bank PLC, Credit Suisse Securities (USA) LLC, RBC Capital Markets* and UBS Securities LLC, in their capacities as joint lead arrangers in respect of the Incremental Tranche A Revolving Loan Commitments.

 

SECTION 6.  Loan Adjustments.    In accordance with Section 2.15(h) of the Credit Agreement, upon the incurrence of the Incremental Tranche A Revolving Loan Commitments, (x) each RL Lender immediately prior to such incurrence will automatically and without further act be deemed to have assigned to each Incremental Revolving Lender, and each such Incremental Revolving Lender will automatically and without further act be deemed to have assumed, a portion of such RL Lender’s participations hereunder in outstanding Letters of Credit and Swingline Loans such that, after giving effect to each such deemed assignment and assumption of participations, the percentage of the aggregate outstanding (i) participations hereunder in Letters of Credit and (ii) participations hereunder in Swingline Loans held by each RL Lender (including each such Incremental Revolving Lender) will equal the percentage of the aggregate Revolving Loan Commitments of all RL Lenders represented by such RL

 

* RBC Capital Markets is a brand name for the capital markets activities of Royal Bank of Canada and its affiliates.

 

12

 

Lender’s Revolving Loan Commitment and (y) if, on the First Amendment Effective Date, there are any Revolving Loans outstanding, such Revolving Loans shall on or prior to the effectiveness of the Incremental Tranche A Revolving Loan Commitments be prepaid from the proceeds of Revolving Loans made under the Credit Agreement (reflecting such increase in Revolving Loan Commitments pursuant to the Incremental Tranche A Revolving Loan Commitments), which prepayment shall be accompanied by accrued interest on the Revolving Loans being prepaid and any costs incurred by any Lender pursuant to such prepayment in accordance with Section 2.11 of the Credit Agreement.

 

SECTION 7.  Waiver.        Except as explicitly set forth in Section 4 of this First Amendment, each Additional Lender and Lender party hereto agrees, solely with respect to the occurrence of the First Amendment Effective Date and the Credit Events to occur on the First Amendment Effective Date (including the incurrence of the Incremental Tranche A Revolving Loan Commitments and the Additional L/C Commitments and the issuance of any Letter of Credit on such date), to waive any conditions precedent to the incurrence of the Incremental Tranche A Revolving Loan Commitments and the Additional L/C Commitments set forth in Section 7 of the Credit Agreement.

 

SECTION 8.  Joinder of New Issuing Lender.  To the extent that any Issuing Lender with First Amendment Letter of Credit Commitments was not an Issuing Lender immediately prior to the First Amendment Effective Date, the parties hereto agree that this First Amendment shall constitute a joinder of such Issuing Bank, in form and substance reasonably satisfactory to the Administrative Agent and the Borrower, and that the signature of the Administrative Agent and the Borrower below constitute an acknowledgment and acceptance of such joinder.

 

SECTION 9.  Counterparts, Etc.     This First Amendment may be executed in any number of counterparts, each of which when so executed shall be deemed an original, but all such counterparts shall constitute one and the same instrument, and all signatures need not appear on any one counterpart. Any party hereto may execute and deliver a counterpart of this First Amendment by delivering by facsimile or other electronic transmission a signature page of this First Amendment signed by such party, and any such facsimile or other electronic signature shall be treated in all respects as having the same effect as an original signature.  Section headings in this First Amendment are included herein for convenience of reference only and shall not constitute part of this First Amendment for any other purpose.

 

SECTION 10.  Governing Law. This First Amendment and the rights and obligations of the parties under this First Amendment shall be governed by, and construed and interpreted in accordance with, the law of the State of New York; provided, that (a) the interpretation of the definition of “EquiPower Acquisition Funding Date Material Adverse Effect” (and whether or not an EquiPower Acquisition Funding Date Material Adverse Effect has occurred), (b) the determination of the accuracy of any EquiPower Acquisition Agreement Representation and whether as a result of any inaccuracy thereof the Borrower or its applicable affiliate has the right to terminate its obligations under the EquiPower Acquisition Agreement or refuse to consummate the EquiPower Acquisition and (c) the determination of whether the EquiPower Acquisition has been consummated in accordance with the terms of the EquiPower Acquisition Agreement and, in any case, claims or disputes arising out of any such interpretation or determination or any aspect thereof, in each case, shall be governed by, and construed and interpreted in accordance with the laws of the State of Delaware, regardless of the laws that might otherwise govern under applicable principles of conflicts of laws thereof.

 

[Signature Pages to follow]

 

13

 

IN WITNESS WHEREOF, this First Amendment has been executed by the parties hereto as of the date first written above.

 

 

	
 
    	
DYNEGY   INC.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Clint C. Freeland
    
	
 
    	
 
    	
Name:
    	
Clint C. Freeland
    
	
 
    	
 
    	
Title:
    	
Executive   Vice President and Chief
    
	
 
    	
 
    	
 
    	
Financial   Officer
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
BLUE   RIDGE GENERATION LLC
    
	
 
    	
CASCO   BAY ENERGY COMPANY, LLC
    
	
 
    	
DYNEGY   COAL HOLDCO, LLC
    
	
 
    	
DYNEGY   COAL INVESTMENTS HOLDINGS, LLC
    
	
 
    	
DYNEGY COAL TRADING & TRANSPORTATION, L.L.C.
    
	
 
    	
DYNEGY   ENERGY SERVICES, LLC
    
	
 
    	
DYNEGY   EQUIPMENT, LLC
    
	
 
    	
DYNEGY   GAS HOLDCO, LLC
    
	
 
    	
DYNEGY   GAS IMPORTS, LLC
    
	
 
    	
DYNEGY   GAS INVESTMENTS, LLC
    
	
 
    	
DYNEGY   GAS INVESTMENTS HOLDINGS, LLC
    
	
 
    	
DYNEGY   GASCO HOLDINGS, LLC
    
	
 
    	
DYNEGY   KENDALL ENERGY, LLC
    
	
 
    	
DYNEGY   MARKETING AND TRADE, LLC
    
	
 
    	
DYNEGY   MIDWEST GENERATION, LLC
    
	
 
    	
DYNEGY   MORRO BAY, LLC
    
	
 
    	
DYNEGY   MOSS LANDING, LLC
    
	
 
    	
DYNEGY   OAKLAND, LLC
    
	
 
    	
DYNEGY   POWER, LLC
    
	
 
    	
DYNEGY   POWER MARKETING, LLC
    
	
 
    	
DYNEGY   SOUTH BAY, LLC
    
	
 
    	
HAVANA   DOCK ENTERPRISES, LLC
    
	
 
    	
ONTELAUNEE   POWER OPERATING COMPANY, LLC
    
	
 
    	
SITHE/INDEPENDENCE   LLC
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Clint C. Freeland
    
	
 
    	
 
    	
Name:
    	
Clint C. Freeland
    
	
 
    	
 
    	
Title:
    	
Executive   Vice President and Chief
    
	
 
    	
 
    	
 
    	
Financial   Officer
    
					

 

 

	
 
    	
BLACK   MOUNTAIN COGEN, INC.
    
	
 
    	
DYNEGY   ADMINISTRATIVE SERVICES COMPANY
    
	
 
    	
DYNEGY   GLOBAL LIQUIDS, INC.
    
	
 
    	
DYNEGY   OPERATING COMPANY
    
	
 
    	
DYNEGY   POWER GENERATION INC.
    
	
 
    	
ILLINOVA   CORPORATION
    
	
 
    	
SITHE   ENERGIES, INC.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Clint C. Freeland
    
	
 
    	
 
    	
Name:
    	
Clint C. Freeland
    
	
 
    	
 
    	
Title:
    	
Executive   Vice President and Chief
    
	
 
    	
 
    	
 
    	
Financial   Officer
    

 

 

	
 
    	
CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH, as the Administrative Agent, an Incremental Revolving Lender and an   Issuing Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Mikhail Faybusovich
    
	
 
    	
 
    	
Name:
    	
Mikhail   Faybusovich
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Samuel Miller
    
	
 
    	
 
    	
Name:
    	
Samuel Miller
    
	
 
    	
 
    	
Title:
    	
Authorized Signatory
    

 

 

	
 
    	
MORGAN STANLEY SENIOR FUNDING, INC., as an Incremental Revolving Lender and an Issuing Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Dmitriy Barskiy
    
	
Name:
    	
Dmitriy Barskiy
    
	
 
    	
 
    	
Title:
    	
Vice President
    

 

 

	
 
    	
MORGAN STANLEY BANK, N.A.,   as an Incremental Revolving Lender and an Issuing Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Dmitriy Barskiy
    
	
 
    	
 
    	
Name:
    	
Dmitriy Barskiy
    
	
 
    	
 
    	
Title:
    	
Authorized Signatory
    

 

 

	
 
    	
BARCLAYS BANK PLC, as an Incremental Revolving Lender and an Issuing Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Christine Aharonian
    
	
 
    	
 
    	
Name:
    	
Christine Aharonian
    
	
 
    	
 
    	
Title:
    	
Vice President
    

 

 

	
 
    	
ROYAL BANK OF CANADA,   as an Incremental Revolving Lender and an Issuing Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Mary Elizabeth Mandanas
    
	
 
    	
 
    	
Name:
    	
Mary   Elizabeth Mandanas
    
	
 
    	
 
    	
Title:
    	
Authorized Signatory
    

 

 

 

	
 
    	
UBS AG, STAMFORD BRANCH, as an Incremental Revolving Lender and an Issuing Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Darlene Arias
    
	
 
    	
 
    	
Name: 
    	
Darlene Arias
    
	
 
    	
 
    	
Title:
    	
Director, Banking Products Services, US
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Craig Pearson
    
	
 
    	
 
    	
Name: 
    	
Craig Pearson
    
	
 
    	
 
    	
Title:
    	
Associate Director, Banking Product
    
	
 
    	
 
    	
Services, US
    

 

 

	
 
    	
BANK OF AMERICA, N.A., as an Incremental Revolving Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ William Merritt
    
	
 
    	
 
    	
Name: 
    	
William Merritt
    
	
 
    	
 
    	
Title:
    	
Vice President
    

 

 

	
 
    	
CREDIT AGRICOLE CORPORATE AND INVESTMENT   BANK, as an   Incremental Revolving Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Dixon Schultz
    
	
 
    	
 
    	
Name: 
    	
Dixon Schultz
    
	
 
    	
 
    	
Title:
    	
Managing Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Sharada Manne
    
	
 
    	
 
    	
Name: 
    	
Sharada Manne
    
	
 
    	
 
    	
Title:
    	
Managing Director
    

 

 

	
 
    	
DEUTSCHE   BANK AG NEW YORK BRANCH, as an   Incremental Revolving Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Marcus M. Tarkington
    
	
 
    	
 
    	
Name: 
    	
Marcus M. Tarkington
    
	
 
    	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Anca Trifan
    
	
 
    	
 
    	
Name: 
    	
Anca Trifan
    
	
 
    	
 
    	
Title:
    	
Managing Director
    

 

 

	
 
    	
BNP   PARIBAS, as an Incremental   Revolving Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Nicole Rodriguez
    
	
 
    	
 
    	
Name: 
    	
Nicole Rodriguez
    
	
 
    	
 
    	
Title:
    	
Vice President
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Ade Adedeji
    
	
 
    	
 
    	
Name: 
    	
Ade Adedeji
    
	
 
    	
 
    	
Title:
    	
Vice President
    

 

 

	
 
    	
JPMORGAN   CHASE BANK, N.A., as an Incremental   Revolving Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Juan Javellana
    
	
 
    	
 
    	
Name: 
    	
Juan Javellana
    
	
 
    	
 
    	
Title:
    	
Executive Director
    

 

 

	
 
    	
MUFG   UNION BANK, N.A., as an Incremental   Revolving Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Chi-Cheng Chen
    
	
 
    	
 
    	
Name: 
    	
Chi-Cheng Chen
    
	
 
    	
 
    	
Title:
    	
Director
    

 

 

	
 
    	
SUNTRUST   BANK, as an Incremental Revolving Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Michael Canavan
    
	
 
    	
 
    	
Name: 
    	
Michael Canavan
    
	
 
    	
 
    	
Title:
    	
Director
    

 

 

SCHEDULE I

 

Incremental Tranche A Revolving Loan Commitments; Letter of Credit Commitment Increase

 

	
Incremental Revolving Lender
    	
 
    	
Incremental Tranche A
   Revolving Loan
   Commitment
    	
 
    	
Letter of Credit
   Commitment Increase
    	
 
    
	
Morgan Stanley Senior Funding, Inc.
    	
 
    	
$
    	
33,780,000
    	
 
    	
—
    	
 
    
	
Morgan Stanley Bank, N.A.
    	
 
    	
—
    	
 
    	
$
    	
35,000,000
    	
 
    
	
Barclays Bank PLC
    	
 
    	
$
    	
33,770,000
    	
 
    	
$
    	
35,000,000
    	
 
    
	
Credit Suisse AG
    	
 
    	
$
    	
33,780,000
    	
 
    	
$
    	
35,000,000
    	
 
    
	
Royal Bank of Canada
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
35,000,000
    	
 
    
	
UBS AG, Stamford Branch
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
17,500,000
    	
 
    
	
Deutsche Bank AG New York   Branch
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
0
    	
 
    
	
Bank of America, N.A.
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
0
    	
 
    
	
Credit Agricole Corporate   and Investment Bank
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
0
    	
 
    
	
BNP Paribas
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
0
    	
 
    
	
JPMorgan Chase Bank, N.A.
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
0
    	
 
    
	
MUFG Union Bank, N.A.
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
0
    	
 
    
	
SunTrust Bank
    	
 
    	
$
    	
27,630,000
    	
 
    	
$
    	
0
    	
 
    

 

 

ANNEX I

 

Schedule 1.01(b) to Credit Agreement

 

	
Lender
    	
 
    	
Initial Revolving
   Loan Commitment
    	
 
    	
Letter of Credit
   Commitment
    	
 
    	
Initial Tranche
   B-1 Term Loan
   Commitment
    	
 
    	
Initial Tranche
   B-2 Term Loan
   Commitment
    	
 
    	
Incremental
   Tranche A
   Revolving Loan
   Commitment
    	
 
    
	
Credit Suisse AG, Cayman Islands Branch
    	
 
    	
$
    	
50,000,000
    	
 
    	
$
    	
121,000,000.00
    	
 
    	
$
    	
500,000,000.00
    	
 
    	
$
    	
800,000,000.00
    	
 
    	
$
    	
33,780,000
    	
 
    
	
Morgan Stanley Bank, N.A.
    	
 
    	
$
    	
50,000,000
    	
 
    	
$
    	
135,476,500.00
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    
	
Morgan Stanley Senior   Funding, Inc.
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
33,780,000
    	
 
    
	
Barclays Bank PLC
    	
 
    	
$
    	
50,000,000
    	
 
    	
$
    	
35,000,000.00
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
33,770,000
    	
 
    
	
Deutsche Bank AG New York   Branch
    	
 
    	
$
    	
50,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
Goldman Sachs Bank USA
    	
 
    	
$
    	
50,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    
	
JPMorgan Chase Bank, N.A.
    	
 
    	
$
    	
50,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
Bank of America, N.A.
    	
 
    	
$
    	
50,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
Royal Bank of Canada
    	
 
    	
$
    	
50,000,000
    	
 
    	
$
    	
235,000,000.00
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
UBS AG, Stamford Branch
    	
 
    	
$
    	
30,000,000
    	
 
    	
$
    	
17,500,000.00
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
MUFG Union Bank, N.A.
    	
 
    	
$
    	
25,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
Wells Fargo Principal Lending
    	
 
    	
$
    	
10,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    
	
Black Diamond CLO 2006-1 (Cayman) Ltd.
    	
 
    	
$
    	
5,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    
	
Black Diamond CLO 2012-1 Ltd.
    	
 
    	
$
    	
5,000,000
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    
	
Credit Agricole Corporate and Investment Bank
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
SunTrust Bank
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
BNP Paribas
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
—
    	
 
    	
$
    	
27,630,000
    	
 
    
	
Total
    	
 
    	
$
    	
475,000,000.00
    	
 
    	
—
    	
 
    	
$
    	
500,000,000.00
    	
 
    	
$
    	
800,000,000.00
    	
 
    	
$
    	
350,000,000.00Exhibit 10.1 April2015SecuritiesPurchaseAgreement

Exhibit 10.1

SECURITIES PURCHASE AGREEMENT, dated April 6, 2015 (this “Agreement”), between TFG Radiant Investment Group Ltd., a company organized under the laws of British Virgin Islands (“TFGR” or the Investor”), and Ascent Solar Technologies, Inc., a corporation organized under the laws of the State of Delaware (the “Company”).  
RECITALS
WHEREAS, the Company desires to sell to TFGR, and TFGR desires to purchase from the Company, an aggregate of 1,000,000 shares of the common stock, par value $0.0001 per share, of the Company (the “Company Common Stock”) pursuant to the terms and conditions set forth herein;
WHEREAS, certain terms used in this Agreement are defined in Section 1.01.
AGREEMENT
NOW, THEREFORE, in consideration of the premises and the mutual agreements and covenants hereinafter set forth, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:
ARTICLE I 
 
DEFINITIONS
SECTION 1.01.Definitions.
(a) For purposes of this Agreement:
“Board” means the Board of Directors of the Company.
“business day” means any day on which the principal offices of the SEC in Washington, D.C. are open to accept filings, or, in the case of determining a date when any payment is due, any day on which banks are not required or authorized to close in New York City, New York, or Denver, Colorado.
“Bylaws” means the Bylaws of the Company, as amended to date.
“Certificate of Incorporation” means the Certificate of Incorporation of the Company, as amended to date.
“person” means any individual, corporation, partnership, limited partnership, limited liability company, syndicate, person (including a “person” or “group” each within the meaning of Section 13(d)(3) of the Exchange Act), trust, association or entity or government, political subdivision, agency or instrumentality of a government.
“SEC Filings” means all filings made by, or required to be made by, the Company with the SEC.
“Shares” means the Tranche 1 Shares and the Tranche 2 Shares.
“Transactions” means execution and delivery of this Agreement, the purchase and sale of the Shares as contemplated by this Agreement and the performance of the obligations contemplated by this Agreement.
(b) Interpretation and Rules of Construction. In this Agreement, except to the extent otherwise provided or that the context otherwise requires: 

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(i) When a reference is made in this Agreement to an Article, Section, Exhibit or Schedule, such reference is to an Article or Section of, or an Exhibit or Schedule to, this Agreement, unless otherwise indicated;
(ii) The headings for this Agreement are for reference purposes only and do not affect in any way the meaning or interpretation of this Agreement;
(iii) Whenever the words “include”, “includes” or “including” are used in this Agreement, they are deemed to be followed by the words “without limitation”;
(iv) The words “hereof”, “herein” and “hereunder” and words of similar import, when used in this Agreement, refer to this Agreement as a whole and not to any particular provision of this Agreement;
(v) All terms defined in this Agreement have the defined meanings when used in any certificate or other document delivered pursuant hereto, unless otherwise defined therein;
(vi) The definitions contained in this Agreement are applicable to the singular as well as the plural forms of such terms;
(vii) References to a person are also to its successors and permitted assigns;
(viii) References to this Agreement is deemed to include a reference to such agreement, as amended, modified or supplemented; and
(ix) The use of “or” is not intended to be exclusive unless expressly indicated otherwise.
ARTICLE II
TRANCHE 1 PURCHASE AND SALE OF SHARES
SECTION 2.01.Tranche 1 Purchase and Sale of the Shares. Upon the terms and subject to the conditions of this Agreement, on the date hereof, the Company shall issue to TFGR, and TFGR shall purchase, accept and acquire from the Company, 500,000 shares of Company Common Stock  The shares of Company Common Stock purchased by TFGR pursuant to this Section 2.01 are hereby referred to as the “Tranche 1 Shares”.
SECTION 2.02.Tranche 1 Purchase Price. The purchase price for the each of the Tranche 1 Shares shall be $1.00 per share (the “Tranche 1 Purchase Price”).
SECTION 2.03.Tranche 1 Closing. The closing of the issuance, purchase and sale of the Tranche 1 Shares (the “Tranche 1 Closing”) will take place on such time, date or other place as is agreed to by the Investor and the Company, but in no event later than April 13, 2015.
ARTICLE III
TRANCHE 2 PURCHASE AND SALE OF SHARES
SECTION 3.01.Tranche 2 Purchase and Sale of the Shares. Upon the terms and subject to the conditions of this Agreement, the Company shall issue to TFGR, and TFGR shall purchase, accept and acquire from the Company, an additional 500,000 shares of Company Common Stock.  The shares of Company Common Stock purchased by TFGR pursuant to this Section 3.01 are hereby referred to as the “Tranche 2 Shares”.

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SECTION 3.02.Tranche 2 Purchase Price. The purchase price for the each of the Tranche 2 Shares shall be $1.00 per share (the “Tranche 2 Purchase Price”).
SECTION 3.03.Tranche 2 Closing. The closing of the issuance, purchase and sale of the Tranche 2 Shares (the “Tranche 2 Closing”) will take place on such time, date or other place as is agreed to by the Investor and the Company, but in no event later than April 20, 2015.
ARTICLE IV
REPRESENTATIONS AND WARRANTIES OF THE COMPANY
As an inducement to the Investor to enter into this Agreement, the Company hereby represents and warrants to the Investor that as of the date hereof:
SECTION 4.01.Organization and Qualification.  The Company is a corporation duly organized, validly existing and in good standing under the Laws of the State of Delaware and has the requisite corporate power and authority to own, lease and operate its properties and to carry on its business as it is now being conducted. The Company is duly qualified or licensed as a foreign corporation to do business, and is in good standing, in each jurisdiction where the character of the properties owned, leased or operated by it or the nature of its business makes such qualification, licensing or good standing necessary, except for such failures to be so qualified or licensed and in good standing that would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.
SECTION 4.02.Certificate of Incorporation and Bylaws. The Company has heretofore made available to the Investor a complete and correct copy of the Certificate of Incorporation and the Bylaws, each as amended to date, of the Company. Such Certificate of Incorporation and Bylaws of the Company are in full force and effect. The Company is not in violation of any of the provisions of its Certificate of Incorporation or Bylaws.
SECTION 4.03.Capitalization. The Shares, when issued, paid for and delivered in accordance with the terms of this Agreement, will be duly authorized, validly issued, fully paid and nonassessable and not subject to preemptive rights.
SECTION 4.04.Authority. The Company has all necessary power and authority to execute and deliver this Agreement, to perform its obligations hereunder, and to consummate the Transactions. The Company’s execution and delivery of this Agreement and the consummation by the Company of the Transactions have been duly and validly authorized by all necessary corporate action and no other corporate proceedings on the part of the Company are necessary to authorize this Agreement or to consummate the Transactions. The Board has approved this Agreement, and the issuance of the Shares. This Agreement has been duly authorized and validly executed and delivered by the Company and, assuming the due authorization, execution and delivery by the Investor, this Agreement constitutes a legal, valid and binding obligation of the Company, enforceable against the Company in accordance with its terms.
SECTION 4.05.Vote Required. No vote of the holders of any class or series of capital stock of the Company is necessary to approve the issuance of the Tranche 1 Shares or the issuance of the Tranche 2 Shares.
SECTION 4.06.Section 203 of the DGCL; Takeover Statute. The Board has taken all actions necessary or advisable to ensure that Section 203 of the DGCL does not apply to any of the Transactions (including the purchase of the Shares hereunder). The execution, delivery and performance of this Agreement and the Ancillary Agreements to which it is party will not cause to be applicable to the Company any “fair price,” “moratorium,” “control share acquisition” or other similar antitakeover statute or regulation enacted under state or federal Laws.

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SECTION 4.07.Brokers. No broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission in connection with the Transactions based upon arrangements made by or on behalf of the Company. 
SECTION 4.08.Private Offering. None of the Company or anyone acting on its behalf has offered or sold or will offer or sell any securities, or has taken or will take any other action that would reasonably be expected to subject the offer, issuance or sale of the Shares, as contemplated hereby, to the registration provisions of the Securities Act.
ARTICLE V 
 
REPRESENTATIONS AND WARRANTIES OF THE INVESTOR
As an inducement to the Company to enter into this Agreement, the Investor hereby represents and warrants to the Company that:
SECTION 5.01.Authority. The Investor has all necessary power and authority to execute and deliver this Agreement, to perform its obligations hereunder and to consummate the Transactions. The Investor’s execution and delivery of this Agreement and the consummation by it of the Transactions have been duly and validly authorized by all necessary corporate action, and no other corporate proceedings on the part of the Investor are necessary to authorize this Agreement or to consummate the Transactions. This Agreement has been duly and validly executed and delivered by the Investor and, assuming due authorization, execution and delivery by the Company, this Agreement constitutes a legal, valid and binding obligation of the Investor enforceable against it in accordance with its terms.
SECTION 5.02.Investment Purpose. The Investor is acquiring the Shares for its own account solely for the purpose of investment and not with a view to, or for resale in connection with, any distribution of the Shares or any interest therein.
SECTION 5.03.Status of Shares; Limitations on Transfer and Other Restrictions. The Investor acknowledges and understands that (i) the Shares have not been and will not be registered under the Securities Act or any under any state securities laws and are being offered and sold in reliance upon federal and state exemptions for transactions not involving any public offering, (ii) that such exemption depends in part upon, and such Shares are being sold in reliance on, the representations and warranties set forth in this Article V, (iii) it must bear the economic risk of its investment in the Shares for an indefinite period of time because the Shares must be held indefinitely unless subsequently registered under the Securities Act and applicable state securities laws or unless an exemption from such registration is available, and (iv) a restrictive legend shall be placed on all certificates evidencing the Shares.
SECTION 5.04.Sophistication and Financial Condition of the Investor. The Investor is an “accredited investor” as defined in Rule 501 of Regulation D promulgated under the Securities Act, a sophisticated investor and, by virtue of its business or financial experience, is capable of evaluating the merits and risks of the investment in the Shares. The Investor has been provided an opportunity to ask questions of and receive answers from representatives of the Company concerning the terms and conditions of this Agreement and the purchase of the Shares contemplated hereby.
ARTICLE VI 
 
ADDITIONAL AGREEMENTS
SECTION 6.01. SEC Filings. As promptly as practicable after the date hereof, the Company shall prepare and file with the SEC any SEC Filings as and when required or requested by the SEC. All documents that 

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the Company is responsible for filing in connection with the Transactions will comply as to form and substance in all material respects with the applicable requirements of the Exchange Act and other applicable Laws.
SECTION 6.02.Public Announcements. The Investor and the Company agree that no public release or announcement concerning the Transactions shall be issued by either party without the prior consent of the other party (which consent shall not be unreasonably withheld), except as such release or announcement may be required by Law or the rules or regulations of Nasdaq, in which case the party required to make the release or announcement shall use its commercially reasonable efforts to allow the other party reasonable time to comment on such release or announcement in advance of such issuance.
ARTICLE VII 
 
AMENDMENT AND WAIVER
SECTION 7.01.Amendment. This Agreement may be amended by the parties hereto at any time prior to the earlier of the Tranche 2 Closing. This Agreement may not be amended except by an instrument in writing signed by the parties hereto.
SECTION 7.02.Waiver. At any time prior to the earlier of the Tranche 2 Closing, either party hereto may (i) extend the time for the performance of any obligation or other act of the other party hereto, (ii) waive any inaccuracy in the representations and warranties of the other party contained herein or in any document delivered pursuant hereto and (iii) waive compliance by the other party with any agreement or condition contained herein. Any such extension or waiver shall be valid if set forth in an instrument in writing signed by the party to be bound thereby.
ARTICLE VIII
GENERAL PROVISIONS
SECTION 8.01.Notices. All notices, requests, claims, demands and other communications hereunder shall be in writing and shall be given (and shall be deemed to have been duly given upon receipt) by delivery in person, by telecopy, by a recognized overnight courier service or by registered or certified mail (postage prepaid, return receipt requested) to the respective parties at the addresses for the parties provided by such parties.
SECTION 8.02.Severability. If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law, or public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal substance of the Transactions is not affected in any manner materially adverse to any party. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely as possible in a mutually acceptable manner in order that the Transactions be consummated as originally contemplated to the fullest extent possible.
SECTION 8.03.Entire Agreement; Assignment. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and thereof and supersede all prior agreements and undertakings, both written and oral, between the parties with respect to the subject matter hereof and thereof. This Agreement shall not be assigned by operation of law or otherwise without the prior written consent of the other party.
SECTION 8.04.Parties in Interest. This Agreement shall be binding upon and inure solely to the benefit of each party hereto, and nothing in this Agreement, express or implied, is intended to or shall confer upon any other person any right, benefit or remedy of any nature whatsoever under or by reason of this Agreement.

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SECTION 8.05.Governing Law. This Agreement shall be governed by, and construed in accordance with, the Laws of the State of Delaware. All actions and proceedings arising out of or relating to this Agreement shall be heard and determined exclusively in any Delaware state or federal court, in each case sitting in City of Wilmington, New Castle County. The parties hereto hereby (a) submit to the exclusive jurisdiction of any Delaware state or federal court, in each case sitting in City of Wilmington, New Castle County, for the purpose of any Action arising out of or relating to this Agreement brought by any party hereto and (b) irrevocably waive, and agree not to assert by way of motion, defense or otherwise, in any such Action, any claim that it is not subject personally to the jurisdiction of the above-named courts, that its property is exempt or immune from attachment or execution, that the Action is brought in an inconvenient forum, that the venue of the Action is improper or that this Agreement or the Transactions may not be enforced in or by any of the above-named courts.
SECTION 8.06.Counterparts. This Agreement may be executed and delivered (including by facsimile transmission) in one or more counterparts, and by the different parties hereto in separate counterparts, each of which when executed shall be deemed to be an original but all of which taken together shall constitute one and the same agreement.
[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]
 
 

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Exhibit 10.1

IN WITNESS WHEREOF, the Investor and the Company have caused this Agreement to be executed as of the date first written above by their respective officers thereunto duly authorized.
	
				
	 
	TFG RADIANT INVESTMENT GROUP LTD.

	 
	 
	 
	 

	 
	By:
	/s/ Victor Lee

	 
	 
	Name:
	Victor Lee

	 
	 
	Title:
	Executive Director

	 
	 
	 
	 

	 
	 
	 
	 

	 
	ASCENT SOLAR TECHNOLOGIES, INC.

	 
	 

	 
	By:
	/s/ William M. Gregorak

	 
	 
	Name:
	William M. Gregorak

	 
	 
	Title:
	Chief Financial Officer

[Signature Page to Securities Purchase Agreement]

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