Document:

Third Amendment to Credit Agreement

 Exhibit 10.1 
 THIRD AMENDMENT TO CREDIT AGREEMENT 
 This THIRD AMENDMENT TO CREDIT AGREEMENT (this
“Amendment”), dated as of March 29, 2006, amends certain provisions of the Credit Agreement dated as of August 25, 2003, as amended by a First Amendment to Credit Agreement dated as of July 14, 2004 and a
Second Amendment to Credit Agreement dated as of March 28, 2005 (as so amended, and as further amended from time to time prior to the date hereof, the “Existing Credit Agreement”) by and among Monitronics International,
Inc., a Texas corporation (the “Borrower”), the Lenders from time to time party thereto, Bank of America, N.A., as successor by merger to Fleet National Bank, as Administrative Agent for the Credit Parties, and Bank of
America, N.A., as Syndication Agent for the Credit Parties. 
 W I T N E S S E
T H: 
 WHEREAS, the Borrower has requested that the Credit Parties agree to certain amendments to and grant a certain
consent under the Existing Credit Agreement; and 
 WHEREAS, upon and subject to the terms hereof, in accordance with Section 11.1 of
the Credit Agreement (as defined below), the Credit Parties hereby agree to the amendments to and to grant the consent under the Existing Credit Agreement as specified herein; 
 NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows.

 ARTICLE I 
 DEFINITIONS AND RULES OF INTERPRETATION 
 Each capitalized term that is used herein and is defined in the Existing Credit
Agreement shall have the meaning specified therein unless such term is otherwise defined herein. In addition, the rules of interpretation set forth in Section 1.3 of the Existing Credit Agreement apply herein. As used herein, the term
“Credit Agreement” shall mean the Existing Credit Agreement as amended by and through the date hereof, including by this Amendment, and as further amended, restated, modified, supplemented and/or extended from time to time.
This Amendment is a Loan Document. 
 ARTICLE II  
 AMENDMENTS, CONSENTS, ETC. 
 Section 2.1. Amendments to Schedules. The
following Schedules amend, replace and supersede the corresponding Schedules attached to the Existing Credit Agreement: 
  

			
	Schedule 4.3	  	Consents
	Schedule 4.5(a)	  	Properties
	Schedule 4.5(b)	  	Intellectual Property
	Schedule 4.6	  	Proceedings
	Schedule 4.8	  	Material Agreements and Licenses
	Schedule 4.12	  	Taxes
	Schedule 4.13	  	Ownership of the Borrower and its Subsidiaries
	Schedule 4.16	  	Insurance
	Schedule 4.20	  	Depository and Other Accounts

 Section 2.2. Amendments to Section 1.1. Section 1.1 of the Existing Credit
Agreement is hereby amended as follows: 
 (a) Additional Definition. The following definition is hereby
added to Section 1.1 of the Credit Agreement in alphabetical order: 
 “‘Third Amendment Closing Date’ shall
mean the date upon which the Third Amendment to Credit Agreement among the Borrower and the Credit Parties shall have been executed by each of the parties thereto and all conditions set forth in Section 3.3 of such Third Amendment to Credit
Agreement have been satisfied or waived.” 
 (b) Amendment to Definition of “Change in
Management”. The definition of the term “Change in Management” is hereby amended by deleting each reference to “James R. Hull” or “Mr. Hull” and inserting in lieu thereof “Mike Haislip” or
“Mr. Haislip”, as appropriate. 
 Section 2.3. Amendment to Section 4.6. Section 4.6 of the Existing
Credit Agreement is hereby amended by deleting each reference to the term “Second Amendment Closing Date” appearing therein and inserting in lieu thereof the term “Third Amendment Closing Date”. 
 Section 2.4. Amendment to Section 4.8(a). Section 4.8(a) of the Existing Credit Agreement is hereby amended by deleting the
term “Second Amendment Closing Date” appearing therein and inserting in lieu thereof the term “Third Amendment Closing Date”. 
 Section 2.5. Amendment to Section 4.13(a). Section 4.13(a) of the Existing Credit Agreement is hereby amended by deleting the term “Second Amendment Closing Date” appearing therein and inserting in
lieu thereof the term “Third Amendment Closing Date”. 
 Section 2.6. Amendment to Section 4.16.
Section 4.16 of the Existing Credit Agreement is hereby amended by deleting each reference to the term “Second Amendment Closing Date” appearing therein and inserting in lieu thereof the term “Third Amendment Closing Date”.

  

 2 

 Section 2.7. Amendment to Section 4.21. Section 4.21 of the Existing
Credit Agreement is hereby amended by deleting the term “Second Amendment Closing Date” appearing therein and inserting in lieu thereof the term “Third Amendment Closing Date”. 
 Section 2.8. Amendment to Section 8.17. Section 8.17 of the Existing Credit Agreement is hereby amended by adding after the
phrase “Six Million Dollars ($6,000,000)” the phrase “; provided, further, that notwithstanding the foregoing, for the fiscal year ending June 30, 2006, the Borrower and its Subsidiaries may make Capital Expenditures in an
aggregate amount up to Six Million Five Hundred Thousand Dollars ($6,500,000) and the Borrower may carry forward any permitted but unused Capital Expenditures from the fiscal year ended June 30, 2006 to the fiscal year ended June 30,
2007.” 
 Section 2.9. Consent. The Required Lenders hereby grant the following consent under the Existing Credit
Agreement (the “Consent”): 
 (a) The retirement of James R. Hull as Chief Executive Officer and
President of the Borrower without the appointment within one hundred eighty (180) days of a permanent replacement who is reasonably acceptable to the Required Lenders, would constitute an Event of Default under Section 9.1(o) of the
Existing Credit Agreement. Subject to the terms and conditions set forth in this Amendment, the Required Lenders hereby consent solely to the appointment of Michael R. Haislip as Chief Executive Officer and President of the Borrower effective as of
March 31, 2006. 
 (b) The Borrower acknowledges and agrees that the foregoing provisions of this Section 2.9 relate
solely to the Consent specified in Section 2.9(a) hereof and shall in no way be deemed or construed as a consent by the Credit Parties to any other actions of the Borrower that would cause a Default or Event of Default under the Credit
Agreement or any other Loan Document. The Credit Parties expressly reserve the full extent of their rights under the Credit Agreement, the other Loan Documents and applicable law in respect of any other actions by the Borrower not specifically
consented to herein. 
 ARTICLE III 
 REPRESENTATIONS AND WARRANTIES, COVENANTS, CONDITIONS 
 PRECEDENT, ETC. 
 Section 3.1. Confirmation of Representations, Warranties and Covenants, Etc. The Borrower, by execution of this Amendment, certifies
to the Credit Parties that: 
 (a) Each of the representations and warranties set forth in the Credit Agreement and the
other Loan Documents is true and correct in all material respects on and as of the date hereof, except to the extent such representations and warranties expressly relate to an earlier date, as if fully set forth in this Amendment and that, as of the
date hereof, no Default or Event of Default has occurred and is continuing under the Credit Agreement or any other Loan Document; 
  

 3 

 (b) The Borrower is in compliance in all material respects with all of the terms
and provisions set forth in the Credit Agreement on its part to be observed or performed on or prior to the date of this Amendment; and 
 (c) Since June 30, 2005, there has been no change in the assets or liabilities or in the financial or other condition of the Borrower or any of its Subsidiaries that could have a Material Adverse effect.

 Section 3.2. Authorization, Validity and Enforceability. This Amendment has been duly authorized, executed and
delivered by the Borrower and constitutes, and the Credit Agreement, and each of the other Loan Documents, as amended by and through the date hereof, constitute, legal, valid and binding obligations of the Borrower, enforceable against the Borrower
in accordance with their respective terms, except as the enforcement thereof may be limited by applicable bankruptcy, insolvency or similar laws affecting the enforcement of rights of creditors generally and except to the extent that enforcement of
rights and remedies set forth therein may be limited by equitable principles (regardless of whether enforcement is considered in a court of law or a proceeding in equity). 
 Section 3.3. Conditions Precedent. Prior to or concurrently with the execution of this Amendment, and as a condition to the obligation
of the Credit Parties to execute this Amendment: 
 (a) The Administrative Agent shall have received a certificate,
dated the Third Amendment Closing Date, of the Secretary of the Borrower: 
 (i) attaching a true and complete copy of
the resolutions of its Board of Directors and of all other documents evidencing all necessary corporate action (in form and substance satisfactory to the Administrative Agent) taken to authorize the execution, delivery and performance of this
Amendment and each of the other documents and instruments contemplated hereby; 
 (ii) setting forth the incumbency of
its officers who are authorized to and who sign this Amendment, including therein a signature specimen of such officers; and 
 (iii) attaching a certificate of good standing of the Secretary of State of the jurisdiction of its formation. 
 (b) The Credit Parties shall have received all fees and other amounts due and payable to the Credit Parties, and their respective Affiliates, under the Credit Agreement, the other Loan Documents or any separate letter agreement or
other arrangement(s) among the Borrower and the Administrative Agent and Syndication Agent to the extent that such fees or other amounts are payable on or prior to the Third Amendment Closing 
  

 4 

 Date, including, to the extent invoiced with reasonable detail, reimbursement or payment of the fees and
disbursements of Special Counsel and all other out-of-pocket expenses required to be reimbursed or paid by the Borrower hereunder. 
 (c) The Administrative Agent shall have received a waiver executed by the Borrower and NML under the Subordinated Note and Warrant Purchase Agreement, dated January 18, 2002, as amended, between the Borrower and NML in form and
substance satisfactory to the Administrative Agent. 
 (d) No injunction, writ, restraining order, or other order of
any nature prohibiting, directly or indirectly, the consummation of the transactions contemplated herein or by the other Loan Documents shall have been issued by any Governmental Authority against the Borrower, the Administrative Agent or any
Lender. 
 (e) The Administrative Agent shall have received all other information and documents which the
Administrative Agent or its counsel may reasonably have requested in connection with the transactions contemplated by this Amendment, such information and documents where appropriate to be certified by one of the Borrower’s officers or a
Governmental Authority. 
 ARTICLE IV 
 MISCELLANEOUS PROVISIONS 
 Section 4.1. Survival. Except as expressly provided
herein, this Amendment does not constitute a waiver of or amendment to any provision of the Existing Credit Agreement or any of the other Loan Documents and does not affect any other term, condition or provision of the Existing Credit Agreement or
any of the other Loan Documents, each of which shall continue in full force and effect. 
 Section 4.2. Governing Law.
This Amendment and the rights and obligations of the parties hereunder shall be construed in accordance with and be governed by the laws of the State of New York (without giving effect to the principles thereof relating to conflicts of law).

 Section 4.3. Counterparts. This Amendment may be executed in any number of counterparts and by the different parties
hereto on separate counterparts, including facsimile counterparts, each of which when so executed and delivered shall be an original, but all of which shall together constitute one and the same instrument. 
 Section 4.4. Headings. The headings of the several Articles, Sections and subsections of this Amendment are inserted for convenience
only and shall not in any way affect the meaning or construction of any provision of this Amendment. 
  

 5 

 [Signature pages follow] 
  

 6 

 IN WITNESS WHEREOF, the parties hereto have caused their duly authorized officers to execute and deliver
this Amendment as of the date first above written. 
  

			
	MONITRONICS INTERNATIONAL, INC.
		
	By:	 	 /s/ Stephen M. Hedrick

	Name:	 	Stephen M. Hedrick
	Title:	 	Vice President-Finance
	
	 BANK OF AMERICA, N.A.,
 as Administrative
Agent

		
	By:	 	 /s/ John F. Lynch

	Name:	 	John F. Lynch
	Title:	 	Senior Vice President
	
	 BANK OF AMERICA, N.A.,
 as Syndication Agent
and Lender

		
	By:	 	  

	Name:	 	
	Title:	 	

 [Counterpart signature pages of Lenders follow] 

 IN WITNESS WHEREOF, the parties hereto have caused their duly authorized officers to execute and deliver
this Amendment as of the date first above written. 
  

			
	MONITRONICS INTERNATIONAL, INC.
		
	By:	 	 /s/ Stephen M. Hedrick

	Name:	 	Stephen M. Hedrick
	Title:	 	Vice President - Finance
	
	 BANK OF AMERICA, N.A.,
 as Administrative
Agent

		
	By:	 	 /s/ Madeline A. Ferrari

	Name:	 	Madeline A. Ferrari
	Title:	 	Vice President
	
	 BANK OF AMERICA, N.A.,
 as Syndication Agent
and Lender

		
	By:	 	 /s/ John F. Lynch

	Name:	 	John F. Lynch
	Title:	 	Senior Vice President

 [Counterpart signature pages of Lenders follow] 

			
	LENDER:
	
	Lasalle Bank National Association
		
	By:	 	 /s/ Mark J. Melendes

	Name:	 	Mark J Melendes
	Title:	 	First Vice President

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	U.S. Bank National Association
	(Name of Institution)
		
	By:	 	 /s/ Gail F. Scannell

	Name:	 	Gail F. Scannell
	Title:	 	Vice President

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	J.P. MORGAN CHASE BANK, N.A.
	(Name of Institution)
		
	By:	 	 /s/ Kristen Whitehurst

	Name:	 	Kristen Whitehurst
	Title:	 	Vice President

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	National City Bank
	(Name of Institution)
		
	By:	 	 /s/ Christian Kalmbach

	Name:	 	Christian Kalmbach
	Title:	 	Senior Vice President

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	Keybank National Association
		
	By:	 	 /s/ Joanne K. Bramanti

	Name:	 	Joanne K. Bramanti
	Title:	 	Senior Vice President

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	 Trimaran CLO V, Ltd.

	 By Trimaran Advisors, L.L.C.

		
	 By:
	 	 /s/ David M. Milison

	 Name:
	 	David M. Millison
	 Title:
	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	GSC PARTNERS CDO FUND IV, LIMITED
	 By: GSCP (NJ), L.P., as Collateral Manager

		
	 By:
	 	 /s/ Alexander B. Wright

	 Name:
	 	Alex Wright
	 Title:
	 	Authorized Signatory
	
	GSC PARTNERS GEMINI FUND LIMITED
	 By: GSCP (NJ), L.P., as Collateral Monitor

	 By: GSCP (NJ), Inc., its General Partner

		
	 By:
	 	 /s/ Alexander B. Wright

	 Name:
	 	Alex Wright
	 Title:
	 	Authorized Signatory

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	GALAXY IV CLO, LTD.
	 By: AIG Global Investment Corp.
 its
Collateral Manager

		
	By:	 	 /s/ W. Jeffrey Baxter

	Name:	 	W. Jeffrey Baxter
	Title:	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	SunAmerica Life Insurance Company
	 By: AIG Global Investment Corp., Inc.
 its
Investment Advisor

		
	By:	 	 /s/ W. Jeffrey Baxter

	Name:	 	W. Jeffrey Baxter
	Title:	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 
  

 17 

			
	LENDER:
	
	 Saturn Trust

	 By: AIG Global Investment Corp., Inc.
 its Investment Advisor

		
	By:	 	 /s/ W. Jeffrey Baxter

	Name:	 	W. Jeffrey Baxter
	Title:	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 
  

 18 

			
	LENDER:
	
	GALAXY CLO 1999-1, Ltd.
	By: AIG Global Investment Corp., Inc.
	Its Collateral Manager
		
	By:	 	 /s/ W. Jeffrey Baxter

	Name:	 	W. Jeffrey Baxter
	Title:	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 
  

 19 

			
	LENDER:
	
	Galaxy CLO 2003-1, Ltd.
	By: AIG Global Investment Corp., Inc.
	Its Collateral Manager
		
	By:	 	 /s/ W. Jeffrey Baxter

	Name:	 	W. Jeffrey Baxter
	Title:	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	Galaxy III CLO , Ltd.
	 By: AIG Global Investment Corp.
 its
Collateral Manager

		
	By:	 	 /s/ W. Jeffrey Baxter

	Name:	 	W. Jeffrey Baxter
	Title:	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	 Galaxy V CLO, Ltd.
 By: AIG
Global Investment Corp.
 its Collateral Manager

		
	By:	 	 /s/ W. Jeffrey Baxter

	Name:	 	W. Jeffrey Baxter
	Title:	 	Managing Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	NewStar CP Funding LLC.
	
	By: NewStar Financial, Inc., its Designated manager
		
	By:	 	 /s/ Walter J. Marullo

	Name:	 	Walter J. Marullo
	Title:	 	Director
	
	NewStar Trust 2005-1
	
	By: NewStar Financial, Inc., its Servicer and Attorney in Fact
		
	By:	 	 /s/ Walter J. Marullo

	Name:	 	Walter J. Marullo
	Title:	 	Director

 [Counterpart Signature Page to Third Amendment to Credit Agreement] 

			
	LENDER:
	
	Atlas Loan Funding 3, LLC
	By: Atlas capital Funding, Ltd.
	By: Structured Asset Investors, LLC
	Its Investment Manager
		
	By:	 	 /s/ Diana M. Himes

	Name:	 	Diana M. Himes
	Title:	 	Associate

 [Counterpart Signature Page to Third Amendment to Credit Agreement]Waiver Agreement, dated March 28, 2006

 Exhibit 10.2 
  

 MONITRONICS INTERNATIONAL, INC. 
  

 WAIVER
AGREEMENT 
 Dated as of March 28, 2006 
 As To 
 SUBORDINATED NOTE AND WARRANT PURCHASE AGREEMENT 
 Dated as of January 18, 2002 
  

 Re: 14.5% Subordinated Notes due March 1, 2010 
 and 
 Warrants 
  

  

 1 

 WAIVER AGREEMENT 
 This Waiver Agreement (the “Agreement”) dated as of March 28, 2006 is made by and between Monitronics International, Inc. (the
“Company”) and The Northwestern Mutual Life Insurance Company (“NML”). 
 RECITALS: 
 A. The Company and NML have entered into a Subordinated Note and Warrant Purchase Agreement dated as of January 18, 2002 (as amended, the
“Purchase Agreement;” terms defined in the Purchase Agreement which are used herein shall have the same meaning as are set forth in the Purchase Agreement for such terms unless otherwise defined herein). 
 B. The Company has requested that NML waive certain provisions of the Purchase Agreement and NML is willing to grant such a waiver, but only on the terms
set forth in this Agreement. 
 AGREEMENT: 
 In consideration of the recitals set forth above, the terms contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as
follows: 
 1. Waiver. NML hereby waives the Company’s obligations under Section 7.02(k) of the Purchase Agreement to limit
the amount of Capital Expenditures made by the Company and its Subsidiaries during the Company’s fiscal year ending June 30, 2006 provided that the aggregate amount of Capital Expenditures made by the Company and its Subsidiaries during
the Company’s fiscal year ending June 30, 2006 does not exceed $6,500,000 and the Company may carry forward any permitted but unused Capital Expenditures from the fiscal year ended June 30, 2006 to the fiscal year ended June 30,
2007. 
 2. Consent. The retirement of James R. Hull as Chief Executive Officer and President of the Company without the appointment
of a replacement within 120 days who is satisfactory to NML in its reasonable judgment would constitute a Change in Control resulting in the obligation of the Company to make an offer to prepay the Notes under Section 2.06(a) of the Purchase
Agreement. Subject to the terms and conditions set forth in this Agreement, NML hereby consents to the appointment of Michael R. Haislip as Chief Executive Officer and President of the Company effective as of March 31, 2006. 
 3. Representations and Warranties. The Company represents and warrants that: (A) the execution and delivery by the Company of this Agreement
(1) are within its corporate powers, (2) have been duly authorized, (3) are not in contravention of the terms of its constitutive documents, or of any contract, instrument, indenture or other agreement or undertaking to which it is a
party or by which it or any of its property is bound or any law, judgment, decree or order applicable to it, and (4) do not require any governmental consent, registration or approval or any filing with or notice to any governmental entity or
other third party; (B) this Agreement, and the Purchase Agreement as modified hereby, constitute the legal, 
  

 2 

 valid and binding obligation of the Company, enforceable against the Company in accordance with their respective terms,
except as such enforceability may be limited by (1) bankruptcy, insolvency, reorganization or other similar laws affecting the enforcement of creditors’ rights generally and (2) general principles of equity (regardless of whether such
enforceability is considered in a proceeding in equity or at law); (C) since June 30, 2005, there has been no change in the assets or liabilities or in the financial or other condition of the Company or any of its Subsidiaries that could
reasonably be expected to have a Material Adverse Effect; and (D) as of the date hereof (and, after giving effect hereto) there exists no Default or Event of Default. 
 4. Miscellaneous. 
 4A.
Ratification. The Company each hereby ratifies, approves and reaffirms the provisions set forth in the Purchase Agreement, and, except as expressly modified hereby, the Purchase Agreement remains in full force and effect. 
 4B. No Further Waiver. Except as specifically stated herein, the execution, delivery and effectiveness of this Agreement shall not operate as a
waiver of any right, power or remedy of NML, nor constitute an amendment or waiver of, or consent to any departure from, any provision of the Purchase Agreement or any other document, instrument or agreement executed or delivered in connection
therewith. 
 4C. Fees. The Company agrees to pay on demand all costs and expenses of NML in connection with the preparation,
execution and delivery of this Agreement and any and all other instruments and documents delivered hereunder. 
 4D. Governing Law.
This Agreement 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. 
 4E. Headings. Section headings in this Agreement are included herein for convenience of reference only and shall not constitute a part of this Agreement for any other purpose. 
 4F. Counterparts. This Agreement may be executed by one or more of the parties to this Agreement on any number of separate counterparts and all of
said counterparts taken together shall be deemed to constitute one and the same instrument. Delivery by any party of telecopied copies of executed counterparts hereof shall constitute execution and delivery hereof by such party. 
 [Signature page follows] 
  

 3 

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

			
	MONITRONICS INTERNATIONAL, INC.
		
	By:	 	 /s/ Michael Meyers

	Name:	 	Michael Meyers
	Title:	 	Vice President and Chief
		 	Financial Officer
	
	THE NORTHWESTERN MUTUAL LIFE
	INSURANCE COMPANY
		
	By:	 	 /s/ Mark E. Kishler

	Name:	 	Mark E. Kishler
	Title:	 	Its Authorized Representative

 [Signature Page to Waiver Agreement] 
  

 4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00103-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00103-of-00352.parquet"}]]