Document:

exv10w1

EXHIBIT 10.1

AMENDMENT NO. 2

     THIS AMENDMENT NO. 2 (the “Amendment”) is being executed and delivered as of August 5,
2008, by and among Chicago Bridge and Iron Company N.V., a corporation organized under the laws of
the Kingdom of the Netherlands (the “Company”), certain Subsidiaries party to the
hereinafter identified and defined Credit Agreement, as borrowers (the “Subsidiary
Borrowers” and together with the Company, the “Borrowers”), JPMorgan Chase Bank,
National Association as administrative agent (the “Administrative Agent”) under said Credit
Agreement, and the Required Lenders party hereto. All capitalized terms used herein without
definition shall have the same meanings as set forth in the Credit Agreement.

W I T N E S S E T H:

     WHEREAS, the Company, the Subsidiary Borrowers, the Lenders and the Administrative Agent are
currently parties to that certain Second Amended and Restated Credit Agreement dated as of October
13, 2006 (as the same may be amended, restated, supplemented or otherwise modified from time to
time, the “Credit Agreement”);

     WHEREAS, the Borrowers have requested the Lenders to amend the Credit Agreement in certain
respects;

     WHEREAS, the Required Lenders have agreed to amend the Credit Agreement on the terms and
conditions set forth in Section 1 hereof.

     NOW, THEREFORE, in consideration of the foregoing premises, the terms and conditions stated
herein and other valuable consideration, the receipt and sufficiency of which are hereby
acknowledged by the Borrowers and the Lenders, such parties hereby agree as follows:

     1. Amendment. Effective as of June 30, 2008 and subject to the satisfaction of the
conditions set forth in paragraph 2 below, the Credit Agreement shall be and hereby is amended as
follows:

     (a) The following definitions of “Adjusted EBITDA”, “Pricing Ratio” and “Second Quarter 2008
Adjustment” are hereby added to Section 1.1 of the Credit Agreement in their respective
appropriate alphabetical order:

     “ “Adjusted EBITDA” means EBITDA plus, to the extent the losses
specified in the definition of “Second Quarter 2008 Adjustment” were recognized
during a period for which EBITDA is being calculated, the Second Quarter 2008
Adjustment.”

     “ “Pricing Ratio” means the ratio of (i) all Adjusted Indebtedness of the
Company and its Subsidiaries to (ii) EBITDA.”

 

 

     “ “Second Quarter 2008 Adjustment” means an amount (in any event, not to exceed
$105,000,000) attributable to 33% of the losses relating to the “South Hook” and
“Isle of Grain” contracts, to the extent such losses were recognized during the
fiscal quarter of the Company and its Subsidiaries ending June 30, 2008.”

     (b) The definition of “Consolidated Net Income Available for Fixed Charges” is hereby amended
to add at the end of such definition “, plus, to the extent the losses specified in the definition
of ‘Second Quarter 2008 Adjustment’ were recognized during a period for which Consolidated Net
Income Available for Fixed Charges is being calculated, the Second Quarter 2008 Adjustment”.

     (c) Section 2.14(D)(ii) of the Credit Agreement is hereby amended and restated in its
entirety as follows:

     “(ii) (a) The Applicable Floating Rate Margins, Applicable Eurodollar Margin,
Applicable L/C Fee Percentage and Applicable Commitment Fee Percentage shall,
subject to the provisions of Section 2.14(D)(ii)(b) below, be determined from time
to time by reference to the table set forth below, on the basis of the then
applicable Pricing Ratio as described in this Section 2.14(D)(ii):

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Pricing Ratio	 	Less than 1.00 to	 	 	Greater than or	 	 	Greater than or	 	 	Greater than or	 
	 	 	1.00	 	 	equal to 1.00 to	 	 	equal to 1.50 to	 	 	equal to 2.00 to	 
	 	 	 	 	 	 	1.00 and less than	 	 	1.00 but less than	 	 	1.00	 
	 	 	 	 	 	1.50 to 1.00	 	 	2.00 to 1.00	 	 	 	 
	Applicable
	 	 	0.250	%	 	 	0.30	%	 	 	0.40	%	 	 	0.45	%
	Commitment Fee
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Applicable L/C Fee
	 	 	0.9125	%	 	 	1.10	%	 	 	1.475	%	 	 	1.6625	%
	for Performance
Letters of Credit
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Applicable L/C Fee
	 	 	1.25	%	 	 	1.50	%	 	 	2.00	%	 	 	2.25	%
	for Financial
Letters of Credit
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Applicable
	 	 	1.250	%	 	 	1.50	%	 	 	2.00	%	 	 	2.25	%
	Eurodollar Margin
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Applicable Floating
	 	 	0.00	%	 	 	0.25	%	 	 	0.75	%	 	 	1.00	%
	Rate Margin
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

(b) (1) Notwithstanding the foregoing or anything else contained in this Agreement to
the contrary, for purposes of computing the Revolving Credit Obligations in connection
with determining the applicable commitment fee, the parties hereto

 

 

acknowledge and agree that to the extent any Escalating L/C is then issued and
outstanding, the applicable commitment fee shall accrue at 200% of the commitment fee
which would be applicable solely by reference to the foregoing table multiplied
by the difference between (x) the Dollar Amount then available to be drawn under
such Escalating L/C and (y) the maximum Dollar Amount (after giving effect to all
possible increases) available to be drawn thereunder.

(2) Upon receipt of the financial statements delivered pursuant to Sections 7.1(A)(i)
and (ii), as applicable, the Applicable Floating Rate Margins, Applicable Eurodollar
Margin, Applicable L/C Fee Percentage and Applicable Commitment Fee Percentage shall be
adjusted, such adjustment being effective five (5) Business Days following the date such
financial statements and the compliance certificate required to be delivered in
connection therewith pursuant to Section 7.1(A)(iii) shall be due; provided, that if the
Company shall not have timely delivered its financial statements in accordance with
Section 7.1(A)(i) or (ii), as applicable, then commencing on the date upon which such
financial statements should have been delivered and continuing until five (5) Business
Days following the date such financial statements are actually delivered, the Applicable
Floating Rate Margins, Applicable Eurodollar Margin, Applicable L/C Fee Percentage and
Applicable Commitment Fee Percentage shall be the maximum Applicable Floating Rate
Margins, Applicable Eurodollar Margin, Applicable L/C Fee Percentage and Applicable
Commitment Fee Percentage, as applicable, as set forth in this Section 2.14(D)(ii).”

     (d) Section 7.3(A)(i) is hereby amended and restated in its entirety as follows:

     “(i) Indebtedness of the Borrowers under this Agreement and the Subsidiaries under the
Subsidiary Guaranty;”

     (e) Section 7.3(F)(b) is hereby amended to delete the reference to “EBITDA”
therein and to substitute “EBITDA and Adjusted EBITDA” therefor.

     (f) Section 7.4(A) is hereby amended to delete the references therein to “EBITDA” and
to substitute “Adjusted EBITDA” therefor.

     2. Conditions of Effectiveness. The effectiveness of this Amendment is subject to the
conditions precedent that the Administrative Agent shall have received (i) counterparts of this
Amendment duly executed and delivered by the Company, the Subsidiary Borrowers and the Required
Lenders and executed counterparts of the Reaffirmation attached hereto duly executed and delivered
by the Subsidiary Guarantors, (ii) an executed amendment to the Letter of Credit Agreement
incorporating amendments thereto which are consistent with the amendments herein, (iii) for the
account of each Lender that executes and delivers its counterpart hereto as and by such time as is
requested by the Administrative Agent, an amendment fee in the amount previously disclosed to the
Lenders and (iv) payment and/or reimbursement of its and its affiliates’ fees and expenses
(including reasonable out-of-pocket fees and expenses of counsel) in connection herewith.

 

 

     3. Representation and Warranties. Each Borrower hereby represents and warrants that
(i) all of the representations and warranties contained in Article VI of the Credit Agreement, as
amended hereby, are true and correct and (ii) no Default or Unmatured Default is in effect.

     4. No Implicit Waiver. Except as expressly set forth herein, (i) the execution,
delivery and effectiveness of this Amendment shall neither operate as a waiver of any rights, power
or remedy of the Administrative Agent or the Lenders under the Credit Agreement or any other
documents executed in connection with the Credit Agreement, nor constitute a waiver of any
provision of the Credit Agreement nor any other document executed in connection therewith and (ii)
the Credit Agreement shall remain in full force and effect in accordance with their original terms.

     5. Reference to Credit Agreement. Upon the effectiveness of this Amendment, each
reference in the Credit Agreement or any other Loan Document to “this Agreement,” “hereunder,” or
words of like or similar import shall mean and be reference to the Credit Agreement, as amended and
modified by this Amendment.

     6. GOVERNING LAW. THE ADMINISTRATIVE AGENT ACCEPTS THIS AMENDMENT, ON BEHALF OF
ITSELF AND THE LENDERS, AT CHICAGO, ILLINOIS BY ACKNOWLEDGING AND AGREEING TO IT THERE. ANY
DISPUTE BETWEEN THE COMPANY OR ANY BORROWER AND THE ADMINISTRATIVE AGENT OR ANY LENDER ARISING OUT
OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE RELATIONSHIP ESTABLISHED BETWEEN THEM IN
CONNECTION WITH, THIS AMENDMENT, THE CREDIT AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS, AND
WHETHER ARISING IN CONTRACT, TORT, EQUITY, OR OTHERWISE, SHALL BE RESOLVED IN ACCORDANCE WITH THE
INTERNAL LAWS (INCLUDING §735 ILCS 105/5-1 ET SEQ. BUT OTHERWISE WITHOUT REGARD TO THE CONFLICTS OF
LAWS PROVISIONS) OF THE STATE OF ILLINOIS.

     7. Counterparts. This Amendment may be executed in any number of counterparts by the
parties hereto, each of which counterparts when so executed shall be an original, but all the
counterparts shall together constitute one and the same agreement. The parties hereto agree that
delivery of an executed counterpart of a signature page to this Amendment by facsimile shall be
effective as delivery of an original executed counterpart of this Amendment.

[Signature Pages Follow]

 

 

     IN WITNESS WHEREOF, this Amendment has been duly executed as of the day and year first above
written.

CHICAGO BRIDGE & IRON COMPANY N.V.,

as the Company

By: CHICAGO BRIDGE & IRON COMPANY B.V.

Its: Managing Director

By:  /s/Ronald A. Ballschmiede

Name: Ronald A. Ballschmiede

Title: Managing Director

CB&I INC. (Formerly Known as CB&I CONSTRUCTORS,

INC.), as a Subsidiary Borrower

By: /s/ Luciano Reyes

Name: Luciano Reyes

Title: Treasurer

CBI SERVICES, INC., as a Subsidiary Borrower

By: /s/ Terrence G. Browne

Name: Terrence G. Browne

Title: Treasurer

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

CHICAGO BRIDGE & IRON COMPANY (DELAWARE), as a

Subsidiary Borrower

By: /s /Luciano Reyes

Name: Luciano Reyes

Title: Treasurer

CB&I TYLER COMPANY, as a Subsidiary Borrower

By: /s/ Luciano Reyes

Name: Luciano Reyes

Title: Treasurer

CHICAGO BRIDGE & IRON COMPANY B.V., as a Subsidiary

Borrower

By: /s/ Ronald A. Ballschmiede

Name: Ronald A. Ballschmiede

Title: Managing Director

CHICAGO BRIDGE & IRON COMPANY, as a Subsidiary

Borrower

By: /s/ Luciano Reyes

Name: Luciano Reyes

Title: Vice President & Treasurer

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

JPMORGAN CHASE BANK, NATIONAL ASSOCIATION, as

Administrative Agent and as a Lender

By: /s/ Robert L. Mendoza

Name: Robert L. Mendoza

Title: Vice President

BANK OF AMERICA, N.A., as Syndication Agent and as

a Lender

By: /s /Mathew Griesbach

Name: Mathew Griesbach

Title: Vice President

BANK OF MONTREAL, as

a Documentation Agent and as a Lender

By: /s/ John Armstrong

Name: John Armstrong

Title: Vice President

WELLS FARGO BANK, N.A., as a Documentation Agent

and as a Lender

By: /s/ Thomas F. Caver, III

Name: Thomas F. Caver, III

Title: Vice President

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

BNP PARIBAS, as a Documentation Agent and as a

Lender

By: /s/ Jamie Dillon

Name: Jamie Dillon

Title: Managing Director

By: /s/ Pierre-Nicholas Rogers

Name: Pierre-Nicholas Rogers

Title: Managing Director

THE ROYAL BANK OF SCOTLAND plc, as a

Documentation Agent and as a Lender

By: /s/ Brian Williams

Name: Brian Williams

Title: Vice President

FORTIS BANK SA/NV, CAYMAN ISLANDS BRANCH, as a

Lender

By:_/s/ Douglas Riahi___

Name: Douglas Riahi

Title: Managing Director

By:__/s/ John W. Deegan___

Name: John W. Deegan

Title: Director and Group Head

FIFTH THIRD BANK, as a Lender

By:__________

Name:

Title:

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

CALYON NEW YORK BRANCH, as a Lender

By: /s/ Page Dillehunt

Name: Page Dillehunt

Title: Managing Director

By: /s/ Michael Willis

Name: Michael Willis

Title: Director

UBS LOAN FINANCE LLC, as a Lender

By: /s/ Irja R. Otsa

Name: Irja R. Otsa

Title: Associate Director

By: /s/ Mary E. Evans

Name: Mary E. Evans

Title: Associate Director

PNC BANK, NATIONAL ASSOCIATION, as a Lender

By: /s/ W.J. Browne

Name: W.J. Browne

Title: Managing Director

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

CREDIT SUISSE, CAYMAN ISLANDS BRANCH, as a Lender

By:___

Name:

Title:

By:___

Name:

Title:

REGIONS BANK, as a Lender

By: /s/ Keith S. Page

Name: Keith S. Page

Title: Senior Vice President

ALLIED IRISH BANK, PLC, as a Lender

By:_/s/ Norbert Galligan___

Name: Norbert Galligan

Title: Vice President

By: /s/ Gregory J. Wiske

Name: Gregory J. Wiske

Title: Vice President

THE NORTHERN TRUST COMPANY, as a Lender

By: /s/ Keith L. Burson

Name: Keith L. Burson

Title: Vice President

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

STANDARD CHARTERED BANK, as a Lender

By: /s/ Katherine E. Leahy

Name: Katherine E. Leahy

Title: Relationship Manager

By: /s/ Robert K. Reddington

Name: Robert K. Reddington

Title: Assistant Vice President

Credit Documentation

Credit Risk Control

ABU DHABI INTERNATIONAL BANK INC. as a Lender

By: /s/ David J. Young

Name: David J. Young

Title: Vice President

By: /s/ Nagy S. Kolta

Name: Nagy S. Kolta

Title: Executive Vice President

AMEGY BANK NATIONAL ASSOCIATION as a Lender

By: /s/ Jill S. Vaughan

Name: Jill S. Vaughn

Title: Senior Vice President

BANK OF NEW YORK, as a Lender

By: /s/ William M. Feathers

Name: William M. Feathers

Title: Vice President

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

CAPITAL ONE, NATIONAL ASSOCIATION, as a Lender

By: /s/ Don Backer

Name: Don Backer

Title: Senior Vice President

ARAB BANKING CORPORATION, as a Lender

By: /s/ Robert Ivosevich

Name: Robert Ivosevich

Title: General Manager

By: /s/ Rami El-Rifai

Name: Rami El-Rifai

Title: Head of Corporate Finance

BANK OF TEXAS, N.A., as a Lender

By: /s/ Marian Livingston

Name: Marian Livingston

Title: Senior Vice President

COMPASS BANK, as a Lender

By:___

Name:

Title:

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

SUMITOMO MITSUI BANKING CORPORATION, as a Lender

By: /s/ Yoshihiro Hyakutome

Name: Yoshihiro Hyakutome

Title: General Manager

U.S. BANK NATIONAL ASSOCIATION, as a Lender

By:___

Name:

Title:

ING BANK N.V., as a Lender

By: /s/ M.W.L. Weijers

Name: M.W.L. Weijers

Title: Managing Director

By: /s/ B.D. Gilbert

Name: B.D. Gilbert

Title: Relationship Manager

COMERICA BANK, as a Lender

By: /s/ DeVon Lang

Name: DeVon Lang

Title: Corporate Banking Officer

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

COMMERZBANK AG, NEW YORK AND GRAND CAYMAN

BRANCHES, as a Lender

By: /s/ Edward C.A. Forsberg, Jr.

Name: Edward C.A. Forsberg, Jr.

Title: Senior Vice President & Manager

By: /s/ David A. Bennett

Name: David A. Bennett

Title: Vice President

DEUTSCHE BANK AG, NEW YORK BRANCH, as a Lender

By: /s/ Ming K. Chu

Name: Ming K. Chu

Title: Vice President

By: /s/ Heidi Sandquist

Name: Heidi Sandquist

Title: Vice President

HSBC BANK USA, NATIONAL ASSOCIATION, as a Lender

By: /s/ Steven F. Larsen

Name: Steven F. Larsen

Title: First Vice President

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006

 

 

RIYAD BANK, HOUSTON AGENCY, as a Lender

By: /s/ Paul N. Travis

Name: Paul N. Travis

Title: Vice President & Head of Corporate

By: /s/ Harlene Sridharan

Name: Harlene Sridharan

Title: Operations Manager

THE BANK OF NOVA SCOTIA, as a Lender

By: /s/ James Forward

Name: James Forward

Title: Managing Director

WACHOVIA BANK, NATIONAL ASSOCIATION, as a Lender

By: /s/ Michael R. Quiray

Name: Michael R. Quiray

Title: Vice President

Signature Page to Amendment No. 2 to

Chicago Bridge & Iron Company N.V. et al

Second Amended and Restated Credit Agreement dated as of October 13, 2006exv10w2

Exhibit 10.2

Conformed Copy

 

 

Chicago Bridge & Iron Company N.V.,

and

Chicago Bridge & Iron Company (Delaware), 

CBI Services, Inc.,

CB&I Inc. (f/k/a CB&I Constructors, Inc.), 

and

CB&I Tyler Company,

as Co-Obligors

Bank of America, N.A., 

as Administrative Agent

Bank of America, N.A., 

as a Letter of Credit Issuer

JPMorgan Chase Bank, N.A., 

as a Letter of Credit Issuer and Joint Book Manager

and

the Lenders

Second Amendment to the Agreements

Dated as of August 5, 2008

Re:

$50,000,000 Letter of Credit and Term Loan Agreement dated as of November 6, 2006

$100,000,000 Letter of Credit and Term Loan Agreement dated as of November 6, 2006

$125,000,000 Letter of Credit and Term Loan Agreement dated as of November 6, 2006

 

 

 

 

Chicago Bridge & Iron Company N.V.

c/o Chicago Bridge & Iron Company (Delaware)

One CB&I Plaza

2103 Research Forest Drive

The Woodlands, TX 77380

Second Amendment to the Agreements

Dated as of August 5, 2008

Re:$50,000,000 Letter of Credit and Term Loan Agreement dated as of

November 6, 2006

$100,000,000 Letter of Credit and Term Loan Agreement dated as of

November 6, 2006

and

$125,000,000 Letter of Credit and Term Loan Agreement dated as of

November 6, 2006

To the Lenders named in

Schedules I, II, and III hereto which are also

signatories to this Second Amendment

to the Agreements (this “Second Amendment to

the Agreements").

Ladies and Gentlemen:

     Reference is made to (i) the $50,000,000 Letter of Credit and Term Loan Agreement dated as of
November 6, 2006 (the “$50,000,000 Agreement"), (ii) the $100,000,000 Letter of Credit and Term
Loan Agreement dated as of November 6, 2006 (the “$100,000,000 Agreement") and (iii) the
$125,000,000 Letter of Credit and Term Loan Agreement dated as of November 6, 2006 (the
“$125,000,000 Agreement,” and, collectively with the $50,000,000 Agreement and the $100,000,000
Agreement, the “Agreements") each of which are by and among Chicago Bridge & Iron Company N.V., a
corporation organized under the laws of The Kingdom of the Netherlands (the “Company"), on behalf
of itself and as Co-Obligors’ Agent, and Chicago Bridge & Iron Company (Delaware), a Delaware
corporation, CBI Services, Inc., a Delaware corporation, CB&I Inc. (f/k/a CB&I Constructors,
Inc.), a Texas corporation, and CB&I Tyler Company, a Delaware corporation (each of the foregoing
being a Wholly-Owned Subsidiary of the Company and hereinafter referred to individually as a
"Co-Obligor” and collectively the “Co-Obligors”), Bank of America, N.A., and JPMorgan Chase Bank,
N.A., as issuers of letters of credit (each an “L/C Issuer” and collectively, the “L/C Issuers”),
the financial institutions having a Credit-Linked Deposit set forth opposite their names in
Schedule I, II or III thereto, as applicable, under the heading “Credit-Linked Deposit”
(collectively, the “Lenders” and individually, a “Lender”), and Bank of America, N.A., as
Administrative Agent. Terms used but not otherwise defined herein shall have the meanings set
forth in the Agreements.

 

 

     The Company and the Co-Obligors have requested certain amendments to the Agreements and hereby
agree with you as follows:

Article 1.

Amendment of the Agreements

     Section 1.1. Amendment of Section 1.01 (Defined Terms). Section 1.01 of the Agreements shall
be amended by the addition in their respective appropriate alphabetical order of new definitions
which shall read as set forth below:

“Adjusted EBITDA” means EBITDA plus, to the extent
the losses related thereto were recognized during a period for which
EBITDA is being calculated, the Second Quarter 2008 Adjustment.

“Adjustment Period Applicable Rate” has the meaning set
forth on Schedule B annexed hereto.

“Applicable Rate Reset Date” means the earlier of (i) the
first date on which, under applicable insurance regulations, the
Reserve Requirement applicable to a Lender which is an insurance
company is equal to, or less than, the applicable Reserve
Requirement in effect immediately prior to the Second Amendment
Effective Date, or (ii) the date on which the Company obtains an
Investment Grade Rating.

“Investment Grade Rating” means a rating assigned to long
term senior unsecured Indebtedness of the Company by at least one
Nationally Recognized Rating Agency of (a) in the case of Moody’s,
“Baa3” or better, (b) in the case of S&P, “BBB-” or better, (c) in
the case of DBRS, “BBB (low)” or better, or (d) in the case of
Fitch, “BBB-” or better; provided, that (x) if there are two
different rating levels applicable to such Indebtedness, the lower
rating level shall be determinative and (y) if there are more than
two rating levels applicable to such Indebtedness, and two or more
of such rating levels are not an “Investment Grade Rating”, for
purposes of this definition, the Company shall not have an
“Investment Grade Rating”.

“Nationally Recognized Rating Agency” means Moody’s
Investors Service, Inc., (“Moody’s") Standard & Poor’s
Ratings Group, a division of The McGraw-Hill Companies, Inc.,
(“S&P”), DBRS Limited (“DBRS”) or Fitch/BCA Duff &
Phelps Ltd (“Fitch").

“Reserve Requirement” is defined in Section 2.04(e).

-2-

 

“Second Quarter 2008 Adjustment” means an amount (in any
event, not to exceed $105,000,000) attributable to 33% of the losses
relating to the “South Hook” and “Isle of Grain” contracts, to the
extent such losses were recognized during the fiscal quarter of the
Company and its Subsidiaries ending June 30, 2008.

“Second Amendment Effective Date” means June 30, 2008.

     Section 1.2. Amendment of Section 1.01 (Defined Terms). The definition of “Consolidated Net
Income Available for Fixed Charges” in the Agreements is hereby amended to add at the end of such
definition “, plus, to the extent the losses related thereto were recognized during a period for
which Consolidated Net Income Available for Fixed Charges is being calculated, the Second Quarter
2008 Adjustment”.

     Section 1.3. Amendment of Section 2.04 (Other Interest Provisions). Section 2.04 of the
Agreements is hereby amended by the addition of a new paragraph (e) which shall read as hereinafter
set forth:

     (e) Change in Reserve Requirement. (i) If on any date
under applicable insurance regulations any Lender would be required
to post reserves (the “Reserve Requirement”) with respect to
a Credit Linked Note or any Borrowing greater than the Reserve
Requirement in effect immediately prior to the Second Amendment
Effective Date, then from and including such date to and until the
Applicable Rate Reset Date, if any, and regardless of whether the
applicable Reserve Requirement changed for all of the Lenders, the
Applicable Rates (or Adjustment Period Applicable Rates, as the case
may be) set forth in Schedule B to the Agreements shall be increased
by 1% per annum. If an Applicable Rate Reset Date shall have
occurred and thereafter the Reserve Requirement shall once again
increase as provided in this paragraph (e), the Applicable Rates
shall again be increased as provided in this paragraph (e).

     (ii) Each Lender shall use its reasonable efforts to notify the
Administrative Agent of any increase or decrease in the Reserve
Requirement.

     (iii) The Administrative Agent shall notify the Co-Obligors and
each of the Lenders in writing, if it shall have received notice of
any increase or decrease in the Reserve Requirement or if an
Applicable Rate Reset Date has occurred, which written notice shall
identify such Applicable Rate Reset Date.

     Section 1.4. Amendment of Section 7.04 (Maximum Leverage Ratio). Section 7.04 of the
Agreements is hereby amended to (i) delete the references therein to “EBITDA” and to

-3-

 

substitute “Adjusted EBITDA” therefor, and (ii) add the following proviso at the end of the first
sentence of Section 7.04 of the Agreements: “; provided that, if during the period from June 30,
2008 to and including March 31, 2009, EBITDA for any four-quarter period ending during such time
shall include the Second Quarter 2008 Adjustment, the Company shall not permit the Leverage Ratio
to be greater than 2.50 to 1.00 at the end of such four-quarter period.”

     Section 1.5. Amendment of Schedule B. Schedule B to each of the Agreements shall be amended
in its entirety to read as set forth in Schedule B-1, Schedule B-2 and Schedule B-3 attached to
this Second Amendment to the Agreements.

Article 2.

Representations and Warranties

     The Company and the Co-Obligors represent and warrant that as of the date hereof after giving
effect hereto:

     (a) No Default or Event of Default exists under any of the Agreements;

     (b) Neither the Company nor the Co-Obligors have paid any amendment fees in connection
with the solicitation of this Second Amendment to the Agreements nor in connection with the
amendments of other material agreements pursuant to which Debt of the Company or the
Co-Obligors is outstanding which relate to the subject matter of this Second Amendment to
the Agreements (excluding any and all fees paid in connection with the concurrent amendments
to the Agreements, the Credit Agreement and the Term Loan Agreement);

     (c) The execution and delivery of this Second Amendment to the Agreements by the
Company and each Co-Obligor and compliance by the Company and each Co-Obligor with all of
the provisions of the Agreements, as amended hereby:

     (i) is within the corporate powers of the Company and each Co-Obligor; and

     (ii) will not violate any provisions of any law or any order of any court or
governmental authority or agency and will not conflict with or result in any breach
of any of the terms, conditions or provisions of, or constitute a default under the
Articles of Incorporation or By-laws of the Company and such Co-Obligor or any
indenture or other agreement or instrument to which the Company and such Co-Obligor
is a party or by which it may be bound or result in the imposition of any Liens or
encumbrances on any property of the Company and such Co-Obligor;

     (d) The execution and delivery of this Second Amendment to the Agreements has been duly
authorized by all proper corporate action on the part of the Company and each Co-Obligor;
and this Second Amendment to the Agreements has been duly executed

-4-

 

and delivered by the Company and each Co-Obligor, and the Agreements, each as amended by
this Second Amendment to the Agreements, constitutes the legal, valid and binding
obligations, contracts and agreements of the Company and each Co-Obligor enforceable in
accordance with their terms.

Article 3.

Miscellaneous

     Section 3.1. References to the Agreement. References in each Agreement or in any certificate,
instrument or other document to such Agreement shall be deemed to be references to such Agreement
as amended hereby and as further amended from time to time without making specific reference to
this Second Amendment to the Agreements or any such other amendment.

     Section 3.2. Effect of Amendment; Acknowledgment of Parties. Except as expressly amended
hereby, the Company and the Co-Obligors agree that the Agreements and all other documents and
agreements executed by the Company and each such Co-Obligor in connection with the Agreements in
favor of the Lenders are ratified and confirmed and shall remain in full force and effect.

     Section 3.3. Successors and Assigns. This Second Amendment to the Agreements shall be binding
upon the Company and each Co-Obligor and its successors and assigns and shall inure to the benefit
of the Lenders and to the benefit of the Lenders’ successors and assigns.

     Section 3.4. Requisite Approval; Expenses. This Second Amendment to the Agreements shall be
effective as of the date first written above upon the satisfaction of the following conditions
precedent: (a) the Required Lenders and the Company or the applicable Credit Party shall have
executed this Second Amendment to the Agreements, (b) the Administrative Agent shall acknowledge
this Second Amendment to the Agreements, (c) the Subsidiary Guarantors shall have executed and
delivered an Acknowledgment and Consent, in respect of the Subsidiary Guaranty, in the form
attached hereto as Exhibit A, (d) the Lenders shall have received a duly executed copy of the
Amendment No. 2 to the Second Amended and Restated Credit Agreement, in a form and substance
reasonably satisfactory to the Lenders, (e) each Lender shall have received an amendment fee on the
aggregate principal amount of its Credit Linked Deposit (which fee shall be calculated on the same
basis for each Lender and shall be in an amount set forth in an email from the Company on August 4,
2008), and (f) the Company and the Co-Obligors shall have paid all reasonable out-of-pocket
expenses incurred by each Lender and the Administrative Agent in connection with the consummation
of the transactions contemplated by this Second Amendment to the Agreements, including, without
limitation, the reasonable fees, expenses and disbursements of Chapman and Cutler LLP and Morrison
& Foerster LLP which are reflected in statements of such counsel rendered on or prior to the date
of this Second Amendment to the Agreements. Upon the delivery of fully-executed counterparts to
this Second Amendment to the Agreements, the conditions precedent referred to above shall be deemed
satisfied.

-5-

 

     Section 3.5. Counterparts. This Second Amendment to the Agreements may be executed in any
number of counterparts, each executed counterpart constituting an original but all together only
one agreement.

     Section 3.6. Governing Law. This Second Amendment to the Agreements shall be construed and
enforced in accordance with, and the rights of the parties shall be governed by, the law of the
State of New York excluding choice-of-law principles of the law of such State that would require
the application of the laws of a jurisdiction other than such State.

[Signature Pages Follow]

-6-

 

     In Witness Whereof, the Company has executed this Second Amendment
to the Agreements as of the day and year first above written.

	 	 	 	 	 
	 	Chicago Bridge & Iron Company N.V., 

as Co-Obligors’ Agent and in its individual

capacity

By: Chicago Bridge & Iron Company B.V., as its

Managing Director

 	 
	 	By  	/s/ Ronald A. Ballschmiede
 	 
	 	 	Name:  	Ronald A. Ballschmiede 	 
	 	 	Title:  	Managing Director 	 

-7-

 

	 	 	 	 	 

     In Witness Whereof, the Co-Obligors have executed this Second
Amendment to the Agreements as of the day and year first above written.

	 	 	 	 	 
	 	Chicago Bridge & Iron Company

(Delaware) 

 	 
	 	By  	/s/ Luciano Reyes
 	 
	 	 	Name:  	Luciano Reyes 	 
	 	 	Title:  	Treasurer 	 
	 
	 	CBI Services, Inc.

 	 
	 	By  	/s/ Terrence G. Browne
 	 
	 	 	Name:  	Terrence G. Browne 	 
	 	 	Title:  	Treasurer 	 
	 
	 	CB&I Inc. (Formerly Known As CB&I

Constructors, Inc.)

 	 
	 	By  	/s/ Luciano Reyes
 	 
	 	 	Name:  	Luciano Reyes 	 
	 	 	Title:  	Treasurer 	 
	 
	 	CB&I Tyler Company

 	 
	 	By  	/s/ Luciano Reyes
 	 
	 	 	Name:  	Luciano Reyes 	 
	 	 	Title:  	Treasurer 	 

-8-

 

	 	 	 	 	 

     In Witness Whereof, the Lenders under the $50,000,000 Agreement, as
named on Schedule I, have executed this Second Amendment to the Agreements as of the day and year
first above written.

	 	 	 	 	 
	 	Sun Life Assurance Company of Canada

 	 
	 	By  	/s/ Deborah J. Foss
 	 
	 	 	Name:  	Deborah J. Foss 	 
	 	 	Title:  	Senior Managing Director 	 
	 
	 	 	 
	 	By  	                                                  /s/ Ann King
 	 
	 	 	Name:  	Ann King 	 
	 	 	Title:  	Senior Counsel 	 
	 
	 	Sun Life Assurance Company of Canada

(U.S.)

 	 
	 	By  	/s/ Deborah J. Foss
 	 
	 	 	Name:  	Deborah J. Foss 	 
	 	 	Title:  	Senior Managing Director 	 
	 
	 	 	 
	 	By  	                                                  /s/ Ann King
 	 
	 	 	Name:  	Ann King 	 
	 	 	Title:  	Assistant  Vice President and Senior Counsel 	 
	 
	 	Sun Life Insurance and Annuity Company

of New York

 	 
	 	By  	/s/ Deborah J. Foss
 	 
	 	 	Name:  	Deborah J. Foss 	 
	 	 	Title:  	Authorized Signer 	 
	 
	 	 	 
	 	By  	                                                  /s/ Ann King
 	 
	 	 	Name:  	Ann King 	 
	 	 	Title:  	Authorized Signer 	 

-9-

 

	 	 	 	 	 

     In Witness Whereof, the Lenders under the $100,000,000 Agreement,
as named on Schedule II, have executed this Second Amendment to the Agreements as of the day and
year first above written.

	 	 	 	 	 
	 	Metropolitan Life Insurance Company

 	 
	 	By  	/s/ Judith A. Gulotta
 	 
	 	 	Name:  	Judith A. Gulotta 	 
	 	 	Title:  	Managing Director 	 
	 
	 	Allstate Life Insurance Company

 	 
	 	By  	/s/ Rick Fischer
 	 
	 	 	Name:  	Rick Fischer 	 
	 	 	Title:  	Authorized Signatory 	 
	 
	 	 	 
	 	By  	                                                  /s/ Robert B. Bodett
 	 
	 	 	Name:  	Robert B. Bodett 	 
	 	 	Title:  	Authorized Signatory 	 
	 
	 	Phoenix Life Insurance Company

 	 
	 	By  	/s/ John H. Beers
 	 
	 	 	Name:  	John H. Beers 	 
	 	 	Title:  	Vice President 	 

-10-

 

	 	 	 	 	 

     In Witness Whereof, the Lenders under the $125,000,000 Agreement,
as named on Schedule III, have executed this Second Amendment to the Agreements as of the day and
year first above written.

	 	 	 	 	 
	 	The Lincoln National Life Insurance Company,

successor by merger to

Jefferson Pilot Financial Insurance

Company

 	 
	 	By:  	Delaware Investment Advisers, a Series of
 Delaware Management Business Trust,
Attorney-In-Fact
 	 
	 	 	 
	 	By  	                                                  /s/ Jayson Bronchetti
 	 
	 	 	Name:  	Jayson Bronchetti 	 
	 	 	Title:  	Vice President 	 
	 
	 	The Lincoln National Life Insurance Company,

successor by merger to

Jefferson-Pilot Life Insurance

Company

 	 
	 	By:  	Delaware Investment Advisers, a Series of
Delaware Management Business Trust,
Attorney-In-Fact
 	 
	 	 	 
	 	By  	                                                  /s/ Jayson Bronchetti
 	 
	 	 	Name:  	Jayson Bronchetti 	 
	 	 	Title:  	Vice President 	 
	 
	 	Transamerica Occidental Life Insurance

Company

 	 
	 	By  	/s/ Josh Prieskorn
 	 
	 	 	Name:  	Josh Prieskorn 	 
	 	 	Title:  	Vice President 	 

-11-

 

	 	 	 	 	 

	 	 	 	 	 
	 	Hartford Life Insurance Company

 	 
	 	By:  	Hartford Investment Management Company, its
Agent and Attorney-in-Fact
 	 
	 
	 	 	 
	 	By  	                                                  /s/ Robert M. Mills
 	 
	 	 	Name:  	Robert M. Mills 	 
	 	 	Title:  	Vice President 	 
	 
	 	Pacific Life Insurance Company 

 	 
	 	By  	/s/ Cathy Schwartz
 	 
	 	 	Name:  	Cathy Schwartz 	 
	 	 	Title:  	Assistant Vice President 	 
	 
	 	 	 
	 	By  	                                                  /s/ Matthew A. Levene
 	 
	 	 	Name:  	Matthew A. Levene 	 
	 	 	Title:  	Assistant Secretary 	 

-12-

 

	 	 	 	 	 

	 	 	This Second Amendment to the Agreements is acknowledged as of the day and year first above
written.

	 	 	 	 	 
	 	Bank of America, N.A., as Administrative

Agent

 	 
	 	By  	/s/ Bridgett J. Manduk
 	 
	 	 	Name:  	Bridgett J. Manduk 	 
	 	 	Title:  	Assistant Vice President 	 
	 

-13-

 

Lenders

	 	 	 	 	 	 	 
	 	 	 	 	Credit-Linked 	 
	Lenders under the $50,000,000 Agreement	 	Series	 	Deposit	 
	 
	 	 	 	 	 	 
	
Sun Life Assurance Company of Canada
	 	A	 	$	36,000,000	 
	 
	 	 	 	 	 	 
	
Sun Life Assurance Company of Canada (U.S.)
	 	A	 	$	13,500,000	 
	 
	 	 	 	 	 	 
	
Sun Life Insurance and Annuity Company of New York
	 	A	 	$	500,000	 
	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Total
	 	 	 	$	50,000,000	 
	 
	 	 	 	 	 

Schedule I

(to Second Amendment to the Agreements)

 

 

Lenders

	 	 	 	 	 	 	 
	 	 	 	 	Credit-Linked 	 
	Lenders under the $100,000,000 Agreement	 	Series	 	Deposit	 
	 
	 	 	 	 	 	 
	Metropolitan Life Insurance Company
	 	B	 	$	50,000,000	 
	 
	 	 	 	 	 	 
	Allstate Life Insurance Company
	 	B	 	$	35,000,000	 
	 
	 	 	 	 	 	 
	Phoenix Life Insurance Company
	 	B	 	$	15,000,000	 
	 
	 	 	 	 	 	 
	Total
	 	 	 	 	$100,000,000	 
	 
	 	 	 	 	 

Schedule II

(to Second Amendment to the Agreements)

 

 

Lenders

	 	 	 	 	 	 	 
	 	 	 	 	Credit-Linked 	 
	Lenders under the $125,000,000 Agreement	 	Series	 	Deposit	 
	 
	 	 	 	 	 	 
	Delaware Investments 
	 	C	 	 	45,000,000	 
	(The Lincoln National Life Insurance
Company, successor by merger to
Jefferson Pilot Financial Insurance Company
& Jefferson-Pilot Life Insurance Company)
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Hartford Life Insurance Company
	 	C	 	 	25,000,000	 
	 
	 	 	 	 	 	 
	
Transamerica Occidental Life Insurance Company
	 	C	 	 	35,000,000	 
	 
	 	 	 	 	 	 
	Pacific Life Insurance Company 
	 	C	 	 	20,000,000	 
	 
	 	 	 	 	 	 
	Total
	 	 	 	$	125,000,000	 
	 
	 	 	 	 	 

Schedule III

(to Second Amendment to the Agreements)

 

 

$50,000,000 Five Year Series A LOC Agreement

Schedule B

Interest on Credit-Linked Deposits; Applicable Rates

     A. Credit-Linked Deposits

     The Credit-Linked Deposits in the Credit-Linked Deposit Account shall bear interest at a rate
per annum equal to the LIBO Rate minus 0.10%.

     B. Applicable Rates*

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Adjustment Period
	Obligation	 	Applicable Rate	 	Applicable Rate**
	 
	 	 	 	 	 	 	 	 
	Unreimbursed Amounts prior to Advances
	 	 	1.75	%	 	 	2.00	%
	Advances
	 	 	3.75	%	 	 	4.00	%
	Term Loans
	 	 	1.60	%	 	 	1.85	%
	Facility Fee
	 	 	1.70	%	 	 	1.95	%

 

			
	*	 	Applicable Rate is subject to adjustment in accordance with Section 2.04(e) of the Agreement.
	 
	* *	 	Adjustment Period Applicable Rate shall be in effect for the Interest Period beginning July 9,
2008 and ending on the last day of the Interest Period (but in no event later than the Interest
Period ending on or about July 6, 2009) immediately following the date on which the Company shall
have delivered the financial statements required by Section 6.01(a) or (b) of the Agreement
together with the covenant compliance certificate required by Section 6.02 of the Agreement
demonstrating that the Company achieved (i) a Leverage Ratio of 2.50 to 1.00 or less pursuant to
Section 7.04 of the Agreement, and (ii) a Fixed Charge Coverage Ratio of at least 1.75 to 1.00
pursuant to Section 7.05 of the Agreement without, in either case, utilizing the Second Quarter
2008 Adjustment.

Schedule B-1

(to Second Amendment to the Agreements)

 

 

$100,000,000 Five Year Series B LOC Agreement

Schedule B

Interest on Credit-Linked Deposits; Applicable Rates

     A. Credit-Linked Deposits

     The Credit-Linked Deposits in the Credit-Linked Deposit Account shall bear interest at a rate
per annum equal to the LIBO Rate minus 0.10%.

     B. Applicable Rates*

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Adjustment Period
	Obligation	 	Applicable Rate	 	Applicable Rate**
	 
	 	 	 	 	 	 	 	 
	Unreimbursed Amounts prior to Advances
	 	 	1.75	%	 	 	2.00	%
	Advances
	 	 	3.75	%	 	 	4.00	%
	Term Loans
	 	 	1.65	%	 	 	1.90	%
	Facility Fee
	 	 	1.75	%	 	 	2.00	%

 

			
	*	 	Applicable Rate is subject to adjustment in accordance with Section 2.04(e) of the Agreement.
	 
	* *	 	Adjustment Period Applicable Rate shall be in effect for the Interest Period beginning July 9,
2008 and ending on the last day of the Interest Period (but in no event later than the Interest
Period ending on or about July 6, 2009) immediately following the date on which the Company shall
have delivered the financial statements required by Section 6.01(a) or (b) of the Agreement
together with the covenant compliance certificate required by Section 6.02 of the Agreement
demonstrating that the Company achieved (i) a Leverage Ratio of 2.50 to 1.00 or less pursuant to
Section 7.04 of the Agreement, and (ii) a Fixed Charge Coverage Ratio of at least 1.75 to 1.00
pursuant to Section 7.05 of the Agreement without, in either case, utilizing the Second Quarter
2008 Adjustment.

Schedule B-2

(to Second Amendment to the Agreements)

 

 

$125,000,000 Eight Year Series C LOC Agreement

Schedule B

Interest on Credit-Linked Deposits; Applicable Rates

     A. Credit-Linked Deposits

     The Credit-Linked Deposits in the Credit-Linked Deposit Account shall bear interest at a rate
per annum equal to the LIBO Rate minus 0.10%.

     B. Applicable Rates*

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Adjustment Period
	Obligation	 	Applicable Rate	 	Applicable Rate**
	 
	 	 	 	 	 	 	 	 
	Unreimbursed Amounts prior to Advances
	 	 	1.75	%	 	 	2.00	%
	Advances
	 	 	3.75	%	 	 	4.00	%
	Term Loans
	 	 	1.75	%	 	 	2.00	%
	Facility Fee
	 	 	1.85	%	 	 	2.10	%

 

			
	*	 	Applicable Rate is subject to adjustment in accordance with Section 2.04(e) of the Agreement.
	 
	* *	 	Adjustment Period Applicable Rate shall be in effect for the Interest Period beginning July 9,
2008 and ending on the last day of the Interest Period (but in no event later than the Interest
Period ending on or about July 6, 2009) immediately following the date on which the Company shall
have delivered the financial statements required by Section 6.01(a) or (b) of the Agreement
together with the covenant compliance certificate required by Section 6.02 of the Agreement
demonstrating that the Company achieved (i) a Leverage Ratio of 2.50 to 1.00 or less pursuant to
Section 7.04 of the Agreement, and (ii) a Fixed Charge Coverage Ratio of at least 1.75 to 1.00
pursuant to Section 7.05 of the Agreement without, in either case, utilizing the Second Quarter
2008 Adjustment.

Schedule B-3

(to Second Amendment to the Agreements)

 

 

Exhibit A

(to Second Amendment to the Agreement)

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