Document:

Exhibit 10.1

 

As of March 25, 2011

 

PERSONAL AND CONFIDENTIAL

 

Aventine Renewable Energy Holdings, Inc. 

One Lincoln Centre

5400 LBJ Freeway, Suite 450

Dallas, Texas  75240

 

Attention: John Castle

 

 

Commitment Letter

 

Re: Aventine Renewable Energy Holdings, Inc. (the “Company”)

 

Ladies and Gentlemen:

 

Macquarie Capital (USA) Inc. on behalf of itself and/or one or more of its affiliates (“Macquarie”) is pleased to provide you with this Commitment Letter (the “Commitment Letter”) in relation to the New Term Loan of the Company pursuant to Section 2.10 of the Credit Agreement referred to below, on the terms specified herein. Reference is made to the Senior Secured Term Loan Credit Agreement, dated as of December 22, 2010, by and among the Company, as borrower, Citibank, N.A., as administrative agent and collateral agent, the other lenders party thereto, Citigroup Global Markets Inc. and Jefferies Finance LLC, as joint lead arrangers and joint book-runners, and Citibank, N.A. and Jefferies Finance LLC, as co-syndication agents, including all exhibits, schedules, annexes and other attachments thereto (as amended or otherwise modified from time to time, the “Credit Agreement”).  Capitalized terms used but not defined herein shall have the meanings assigned to them in the Credit Agreement.  The terms “you” and “the Company” are used interchangeably herein to refer to the Company.

 

1.             Commitment; Titles and Roles.

 

Macquarie is pleased to confirm by this Commitment Letter its commitment to you (the “Commitment”) to provide or cause one or more of its affiliates to provide $25,000,000 of the New Term Loan, subject to the terms and conditions set forth herein.  It is agreed that Macquarie will act as sole provider of the New Term Loans and you agree that no other agents, co-agents, arrangers or bookrunners will be appointed, no other titles will be awarded and no compensation will be paid to any Lender in connection with the New Term Loan unless you and we shall so agree.

 

The Commitment and agreements of Macquarie described herein are subject to the following conditions precedent:

 

(a)           the New Term Loan having the same terms, including, but not limited to, seniority ranking, Maturity Date, Applicable Margin and interest rate floor, as the existing Term Facility;

 

 

(b)           in the reasonable judgment of Macquarie, the absence of any material adverse change in the business, condition (financial or otherwise), or operations of the Company and its subsidiaries, taken as a whole, since December 31, 2010;

 

(c)           the accuracy and completeness in all material respects of all representations that the Company makes to Macquarie and all written information or any other information provided at any formal presentation by the Company or any of its subsidiaries, taken as a whole, that the Company furnishes or has furnished to Macquarie, in each case, in connection with the transactions contemplated by this Commitment Letter; and

 

(d)           Macquarie shall be reasonably satisfied that the Company shall have complied with the conditions precedent specified in section 2.10(f) of the Credit Agreement and other usual and customary closing conditions including, but not limited to, (i) execution of an Incremental Amendment in a form consistent with this Commitment Letter, (ii) delivery of certificates required by the Credit Agreement in a form consistent with this Commitment Letter, and (iii) the delivery of customary legal opinions required by the Credit Agreement.

 

2.             Commitment Termination.  The Commitment will expire at 5:00 p.m., New York City time, on March 31, 2011 unless on or prior to such time you have executed and returned to Macquarie a copy of this Commitment Letter and the Fee Letter.  If you do so execute and deliver to Macquarie this Commitment Letter and the Fee Letter, Macquarie agrees to hold the Commitment available for you until 5:00 p.m., New York City time, on April 30, 2011.  The Commitment will terminate upon funding of the New Term Loan on the New Term Loan Effective Date, and you and we agree to rely exclusively on the requisite rights and the commitments and other obligations set forth in the Credit Agreement in respect of all matters arising on or after such date with respect to the New Term Loan.  Notwithstanding the foregoing, the provisions of this Commitment Letter relating to the payment of fees and expenses, indemnification and confidentiality and the provisions of Sections 7 through 10 hereof will survive the expiration or termination of the Commitment or this Commitment Letter (including any extensions).

 

3.             Syndication.

 

(a)           The parties hereto agree that Macquarie will have the right to and may syndicate all or a portion of the New Term Loan to one or more groups of financial institutions or other investors identified by us; provided, however, for the avoidance of doubt, that Macquarie’s Commitment is not subject to the consummation of a successful syndication of the New Term Loan prior to the New Term Loan Effective Date.  Macquarie will have the right to manage all aspects of any such syndication of the New Term Loan in consultation with the Company and subject to the Company’s right to approve prospective lenders other than Macquarie (such approval not to be unreasonably witheld or delayed), including decisions as to the selection of institutions to be approached, the timing of all offers to potential lenders, the determination of the amounts offered to potential lenders, the acceptance of commitments of the lenders and the compensation to be provided to the lenders.  The Company will take all action as Macquarie may reasonably request to assist Macquarie in forming a syndicate acceptable to Macquarie and reasonably acceptable to the Company, which acceptance will not be unreasonably withheld or delayed.

 

(b)           To ensure an effective syndication of the New Term Loan, the Company agrees that from the date hereof until the earlier of (i) 30 days following the New Term Loan Effective Date and (ii) the termination of the syndication (as determined by Macquarie), the Company will not, and will not permit any of its controlled affiliates to, syndicate or issue, attempt to syndicate or issue, announce or authorize the announcement of the syndication or issuance of, any debt facility or debt security (including

 

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any renewals thereof), without the prior written consent of Macquarie (such consent not to be unreasonably withheld or delayed).

 

4.             Fees.  In consideration of the execution and delivery of this Commitment Letter by us, the Company will pay the non-refundable fees and expenses set forth in the letter agreement dated the date hereof (the “Fee Letter”), between the Company and Macquarie Capital (USA) Inc.  The terms of the Fee Letter are an integral part of the agreements hereunder and constitute part of this Commitment Letter for all purposes hereof.

 

5.             Indemnification.

 

The Company will indemnify and hold harmless Macquarie Capital (USA) Inc. and its affiliates and each of their respective officers, directors, employees, agents, advisors and representatives and each of their respective heirs, successors and assigns (each, an “Indemnified Party”) from and against any and all claims, damages, losses, liabilities and expenses (including without limitation, fees and disbursements of counsel), that may be incurred by or asserted or awarded against any Indemnified Party (including without limitation, in connection with any investigation, litigation or proceeding or the preparation of a defense in connection therewith), in each case, arising out of or in connection with or by reason of this Commitment Letter or the transactions contemplated hereby or any actual or proposed use of the proceeds of the New Term Loan, except to the extent such claim, damage, loss, liability or expense is found in a final, non-appealable judgment by a court of competent jurisdiction to have resulted primarily from such Indemnified Party’s gross negligence or willful misconduct.  In the case of an investigation, litigation or other proceeding to which the indemnity in this paragraph applies, such indemnity will be effective whether or not such investigation, litigation or proceeding is brought by the Company, any of its directors, security holders or creditors, an Indemnified Party or any other person or an Indemnified Party is otherwise a party thereto and whether or not the transactions contemplated hereby are consummated.

 

No Indemnified Party will have any liability (whether in contract, tort or otherwise) to the Company or any of its affiliates or any of their respective security holders or creditors for or in connection with the transactions contemplated hereby, except to the extent such liability is determined in a  final, non-appealable judgment by a court of competent jurisdiction to have resulted primarily from such Indemnified Party’s gross negligence or willful misconduct.  In no event, however, will any Indemnified Party be liable on any theory of liability for any special, indirect, consequential or punitive damages (including without limitation, any loss of profits, business or anticipated savings).

 

6.             Confidentiality.

 

By accepting delivery of this Commitment Letter, the Company agrees that this Commitment Letter is for the Company’s confidential use only and that neither its existence nor its terms will be disclosed by the Company to any person other than the Company’s affiliates and its and their respective officers, directors, employees, advisors, agents and representatives (the “Company Representatives”), and then only on a confidential and “need to know” basis in connection with the transactions contemplated hereby; provided, however, that the Company may make such public disclosures of the terms and conditions hereof as the Company is required by law, in the opinion of the Company’s counsel, to make.  Notwithstanding any other provision in this Commitment Letter, Macquarie hereby confirms that the Company and the Company Representatives will not be limited from disclosing the U.S. tax treatment or U.S. tax structure of the New Term Loan.

 

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Macquarie hereby agrees that it shall comply with the terms of the Confidentiality Agreement dated September 7, 2010 by and between the Company and Macquarie Bank Limited, as the same may be amended or otherwise modified from time to time.

 

7.             No Third Party Reliance, Not a Fiduciary, Etc.

 

This Commitment Letter has been and is made solely for the benefit of the parties hereto, the Indemnified Parties, and their respective heirs, successors and assigns, and may not be relied upon or enforced by any other person.  The Company may not assign or delegate any of its rights or obligations hereunder without the prior written consent of Macquarie (and any purported assignment without such consent will be null and void).  In connection with any syndication of all or a portion of the New Term Loan, the rights and obligations of Macquarie hereunder may be assigned, in whole or in part.  This Commitment Letter may not be amended or modified, or any provisions hereof waived, except by a written agreement signed by all parties hereto.

 

The Company acknowledges that Macquarie is acting pursuant to a contractual relationship on an arm’s length basis, and the parties hereto do not intend that Macquarie act or be responsible as a fiduciary or advisor to, or agent of, the Company, its management, stockholders, creditors or any other person.  Each of the Company and Macquarie hereby expressly disclaims any fiduciary relationship and agrees they are each responsible for making their own independent judgment with respect to the transactions entered into between them.  The Company also hereby acknowledges that Macquarie has not advised and is not advising the Company as to any legal, accounting, regulatory or tax matters, and that the Company is consulting its own advisors concerning such matters to the extent it deems appropriate.

 

The Company understands and acknowledges that Macquarie is a full service financial firm and, as such, from time to time may effect transactions for its own account or the account of customers, and hold long or short positions in debt or equity securities or loans of companies that may be the subject of the transactions contemplated by this Commitment Letter.  The Company hereby waives and releases, to the fullest extent permitted by law, any claims it has with respect to any conflict of interest arising from such transactions, activities, investments or holdings, or arising from the failure of Macquarie to bring such transactions, activities, investments or holdings to its attention.

 

In recognition of the foregoing, the Company agrees that Macquarie is not required to restrict its activities as a result of this Commitment Letter and that Macquarie may undertake any business activity without further consultation with or notification to the Company.  Neither this Commitment Letter nor the receipt by Macquarie of confidential information nor any other matter will give rise to any fiduciary, equitable or contractual duties (including without limitation, any duty of trust or confidence) that would prevent or restrict Macquarie from acting on behalf of other customers or for its own account.  Furthermore, the Company agrees that neither Macquarie nor any member or business of Macquarie is under a duty to disclose to the Company or use on behalf of the Company any information whatsoever about or derived from those activities or to account for any revenue or profit obtained in connection with such activities.  However, Macquarie will not use confidential information obtained from the Company or any of the Company Representatives by virtue of the transactions contemplated by this Commitment Letter except in connection with the performance by Macquarie of services hereunder; provided, however, that Macquarie will be free to disclose information in any manner as required by law, regulation, regulatory authority or other applicable judicial or government order.

 

8.             Governing Law, Etc.  This Commitment Letter will be governed by, and construed in accordance with, the laws of the State of New York.  This Commitment Letter sets forth the entire agreement between the parties with respect to the matters addressed herein and supersedes all prior

 

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communications, written or oral, with respect thereto.  This Commitment Letter may be executed in any number of counterparts, each of which, when so executed, will be deemed an original and all of which, taken together, will constitute one and the same Commitment Letter.  Delivery of an executed counterpart of a signature page to this Commitment Letter by telecopier or .pdf will be as effective as delivery of an original executed counterpart of this Commitment Letter.

 

9.             Waiver of Jury Trial.  Each party hereto irrevocably waives all right to trial by jury in any action, proceeding or counterclaim (whether based on contract, tort or otherwise) arising out of or relating to this Commitment Letter or the transactions contemplated hereby or the actions of the parties hereto in the negotiation, performance or enforcement hereof.

 

10.           Consent to Jurisdiction, Etc.  Each of the parties hereto irrevocably and unconditionally (i) submits to the exclusive jurisdiction of any New York State or Federal court located in the County of New York over any suit, action or proceeding arising out of or relating to this Commitment Letter, (ii) accepts for itself and in respect of its property the jurisdiction of such courts, (iii) waives any objection to the laying of venue of any such suit, action or proceeding has been brought in an inconvenient forum and (iv) consents to the service of process, summons, notice or document in any such suit, action or proceeding by registered mail addressed to it at its address specified on the first page of this Commitment Letter.  A final judgment in any such suit, action or proceeding will be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.  Nothing herein will affect the right of any party hereto to serve legal process in any other manner permitted by law or affect the right of any party hereto to bring any suit, action or proceeding against any party hereto or its property in the courts of other jurisdictions. To the extent that any party hereto has or hereafter may acquire any immunity from jurisdiction of any court or from any legal process (whether through service or notice, attachment prior to judgment, attachment in aid of execution, execution or otherwise) with respect to itself or its property, such party irrevocably waives such immunity in respect of its obligations under this Commitment Letter.

 

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If you are in agreement with the foregoing, kindly sign and return to us the enclosed copy of this Commitment Letter.

 

	
 
    	
 
    	
Very   truly yours,
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
MACQUARIE   CAPITAL (USA) INC.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Andrew Stock
    
	
 
    	
 
    	
 
    	
Name:   Andrew Stock
    
	
 
    	
 
    	
 
    	
Title:   Division Director
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/   Vincent Basulto
    
	
 
    	
 
    	
 
    	
Name:   Vincent Basulto
    
	
 
    	
 
    	
 
    	
Title:   Managing Director
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Accepted   and agreed to as of the
    	
 
    	
 
    
	
date   first above written:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
AVENTINE   RENEWABLE ENERGY HOLDINGS, INC.
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By:
    	
/s/   Thomas Manuel
    	
 
    	
 
    
	
 
    	
Name:   Thomas Manuel
    	
 
    	
 
    
	
 
    	
Title:   Chief Executive OfficerExhibit 10.2

 

EXECUTION COPY

 

$25,000,000 INCREMENTAL TERM LOAN FACILITY

 

 

INCREMENTAL AMENDMENT

 

Dated as of April 7, 2011

 

among

 

AVENTINE RENEWABLE ENERGY HOLDINGS, INC.,

 

as Borrower

 

CITIBANK, N.A.,

 

as Administrative Agent

 

and

 

EACH OF THE UNDERSIGNED BANKS AND OTHER FINANCIAL INSTITUTIONS PARTY HERETO AS LENDERS

 

 

INCREMENTAL AMENDMENT

 

THIS INCREMENTAL AMENDMENT (this “Amendment”), dated as of April 7, 2011, is made by and among AVENTINE RENEWABLE ENERGY HOLDINGS, INC., a Delaware corporation (the “Borrower”), CITIBANK, N.A., as administrative agent (in such capacity, the “Administrative Agent”) for the Lenders under, and as defined in, the Credit Agreement (as defined below) and each of the undersigned banks and other financial institutions party hereto as Lenders (in such capacity, the “Incremental Term Loan Lenders”).

 

PRELIMINARY STATEMENTS:

 

(1)           The Borrower, the Administrative Agent, the other agents party thereto, and the lenders from time to time party thereto are parties to a Senior Secured Term Loan Credit Agreement, dated as of December 22, 2010 (as amended by that certain Letter Extension, Amendment and Waiver, dated as of March 22, 2010, and as otherwise amended, supplemented or otherwise modified from time to time, the “Credit Agreement”).  Capitalized terms not otherwise defined in this Amendment have the same meanings as specified in the Credit Agreement;

 

(2)           The Borrower has requested that the Incremental Term Loan Lenders collectively provide New Term Loan Commitments hereunder, and make New Term Loans pursuant thereto, in an aggregate amount equal to $25,000,000 (the “Aggregate Incremental Term Loan Commitment”) on the Effective Date (as defined below), and each Incremental Term Loan Lender is prepared to make a portion of such Aggregate Incremental Term Loan Commitment, and to provide a portion of the New Term Loans pursuant thereto, in the respective amounts set forth on Schedule 1 hereto, in each case subject to the other terms and conditions set forth herein; and

 

(3)           The Borrower, the Incremental Term Loan Lenders and the Administrative Agent are entering into this Amendment in order to evidence such New Term Loan Commitments and New Term Loans, which are to be made in the form of New Term Loan Commitments and New Term Loans, in accordance with Section 2.10 of the Credit Agreement.

 

(4)           This Amendment constitutes an amendment and supplement to, an “Incremental Amendment” referred to in Section 2.10(e) of, and a “Loan Document” as defined in, the Credit Agreement; and, in accordance with Section 2.10(e) and the second paragraph of Section 10.01 of the Credit Agreement, the consent of neither the Required Lenders nor any Lender (other than the Incremental Term Loan Lenders) is required herefor.

 

In consideration of the premises and the mutual covenants contained herein, the parties hereby agree as follows:

 

SECTION 1.           New Term Loans.  Pursuant to Section 2.10 of the Credit Agreement, and subject to the satisfaction of the conditions set forth in Section 3 hereof, on and as of the Effective Date:

 

(a)           Each Incremental Term Loan Lender that is, prior to the Effective

 

 

Date, a Lender under the Credit Agreement (an “Increasing Term Loan Lender”) agrees that upon, and subject to, the occurrence of the Effective Date, such Incremental Term Lender’s Commitment shall be increased, as contemplated by Section 2.10 of the Credit Agreement, by the amount set forth opposite such Incremental Term Lender’s name under the heading “New Term Loan Commitment” on Schedule 1 to this Amendment.  From and after the Effective Date, each reference in the Credit Agreement to any Increasing Term Loan Lender’s Commitment shall mean its Commitment, as increased by the amount set forth opposite such Incremental Term Lender’s name under the heading “Incremental Commitment” on Schedule 1 to this Amendment, and as set forth opposite its name on Schedule 2 to this Amendment under the heading “Commitment” on Schedule 2 to this Amendment.

 

(b)           Each Incremental Term Loan Lender that is not, prior to the Effective Date, a Lender under the Credit Agreement (each, an “Additional Term Loan Lender”), agrees that upon, and subject to, the occurrence of the Effective Date, such Incremental Term Loan Lender shall be deemed to be, and shall become, a “Lender” for all purposes of, and subject to all the obligations of a “Lender” under, the Credit Agreement and the other Loan Documents, and shall have a Commitment that is equal to the amount set forth opposite such Incremental Term Loan Lender’s name under the heading “Incremental Commitment” on Schedule 1 to this Amendment.  The Borrower and the Administrative Agent hereby agree that from and after the Effective Date, each Additional Term Loan Lender shall be deemed to be, and shall become, a “Lender” for all purposes of, and with all the rights and remedies of a “Lender” under, the Credit Agreement and the other Loan Documents.  From and after the Effective Date, each reference in the Credit Agreement to any Additional Term Loan Lender’s Commitment shall mean its Commitment as established pursuant to this Amendment, and as set forth opposite its name on Schedule 2 to this Amendment under the heading “Commitment” on Schedule 2 to this Amendment.

 

(c)          Each Increasing Term Loan Lender and each Additional Term Loan Lender hereby agrees to make New Term Loans to the Borrower on the Effective Date in a principal amount not to exceed its respective incremental Commitment, which constitutes such Person’s Commitment (as determined giving effect to this Amendment) net of the aggregate principal amount of such Person’s Loans to the Borrower prior to the Effective Date.

 

(d)           The Borrower and the Administrative Agent each hereby acknowledge that, in accordance with Section 2.10(d) of the Credit Agreement, each Additional Term Loan Lender is reasonably acceptable to such party.

 

SECTION 2.           Amendments to the Credit Agreement.  Pursuant to Section 2.10 of the Credit Agreement, and subject to the satisfaction of the conditions precedent set forth in Section 3 hereof, effective on and as of the Effective Date, the Credit Agreement is hereby amended as follows:

 

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(a)   The definitions of “Applicable Percentage”, “Borrowing”, “Commitment”, “Fee Letter” and “Maturity Date” in Section 1.01 are amended in full to read as follows:

 

““Applicable Percentage” means, with respect to any Lender at any time, the percentage (carried out to the ninth decimal place) of the Term Facility represented by such Lender’s Commitment (if any) or Loan (as applicable) at such time.  The Applicable Percentage of each Lender in respect of the Term Facility is set forth on Schedule I hereto or in the Assignment and Assumption pursuant to which such Lender becomes a party hereto, as applicable.”

 

““Borrowing” means (a) a borrowing consisting of simultaneous Term Loans of the same Type and, in the case of LIBOR Loans, having the same Interest Period made by each of the Lenders pursuant to Section 2.01 and (b) a borrowing consisting of simultaneous New Term Loans of the same Type and, in the case of LIBOR Loans, having the same Interest Period made by each of the Lenders pursuant to Section 2.01.”

 

““Commitment” means, with respect to any Lender, such Lender’s obligation to make a Loan to the Borrower pursuant to Section 2.01 in an aggregate principal amount not to exceed the amount set forth under the caption “Commitment” opposite such Lender’s name on Schedule I hereto.  The aggregate amount of the Commitments as of the New Term Loan Effective Date is $225,000,000.”

 

““Fee Letter” means (a) the fee letter, dated August 2, 2010, between the Borrower and CGMI; (b) the agency fee letter, dated as of December 22, 2010, between the Borrower and Citibank, N.A. and (c) the fee letter, dated as of March 25, 2011, between the Borrower and Macquarie Capital (USA) Inc.”

 

““Maturity Date” means, with respect to any Loan, the date which is the fifth anniversary of the Closing Date, in each case subject to extension thereof in accordance with Section 2.11; provided, however, that if such date is not a Business Day, the Maturity Date shall be the immediately preceding Business Day.”

 

(b)   Section 2.01 is amended in full to read as follows:

 

“The Loans.  Subject to the terms and conditions set forth herein, (a) each Lender severally agrees to make a single term loan (each such loan, a “Term Loan”) to the Borrower on the Closing Date and (b) each Incremental Term Loan Lender severally agrees to make a New Term Loan to the Borrower on the New Term Loan Effective Date, in each case in an aggregate principal amount not to exceed the amount of such Lender’s Commitment (net of the aggregate principal amount of such Lender’s Loans to the Borrower prior to such date) on such date.

 

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Loans may be ABR Loans or LIBOR Loans, as further provided herein.  Amounts borrowed under this Section 2.01 and repaid or prepaid may not be reborrowed.”

 

(c)   The first paragraph of Section 10.06(b)(vi) is amended in full to read as follows:

 

“Notwithstanding anything to the contrary contained herein, any Lender may assign all or any portion of its Loans hereunder to the Borrower or any of its Subsidiaries; provided that the aggregate principal amount of the Loans assigned to the Borrower or any of its Subsidiaries pursuant to this Section 10.06(b)(vi) shall not exceed 33% of the original principal amount of the Term Loans and any New Term Loans in the aggregate, but only if:”

 

(d)   Section 10.06(h) is amended in full to read as follows:

 

“Notwithstanding anything to the contrary contained herein, the Loans may be assigned to Affiliates of the Borrower (such Affiliate, an “Affiliated Lender”); provided that such Affiliate shall have no right whatsoever so long as such Person is an Affiliate of the Borrower (i) to consent to any amendment, modification, waiver, consent or other such action with respect to any of the terms of this Amendment or any other Loan Document, (ii) to require any Agent or other Lender to undertake any action (or refrain from taking any action) with respect to this Amendment or any other Loan Document, (iii) otherwise vote on any matter related to this Amendment or any other Loan Document, (iv) to attend (or receive any notice of) any meeting, conference call or correspondence with any Agent or Lender or receive any information from any Agent or Lender, (v) to have access to the Platform (including, without limitation, that portion of the Platform that has been designated for “private-side” Lenders) or (vi) to make or bring any claim, in its capacity as Lender, against the Agent or any Lender with respect to the duties and obligations of such Persons under the Loan Documents; and provided  further that the aggregate principal amount of the Loans assigned to Affiliated Lenders pursuant to this Section 10.06(h) shall not exceed 33% of the original principal amount of the Term Loans and any New Term Loans in the aggregate.”

 

(e)   Each reference to “Term Loan” in the definitions of “ABR Loan”, “Applicable Percentage”, “Available Amount”, “Borrowing Notice”, “Defaulting Lender”, “Disqualified Stock”, “Interest Payment Date”, “LIBOR Loan”, “Note”, “Required Lenders”, “Type” in Section 1.01, Articles II (other than Section 2.01), III, VII, VIII and X (other than the Section 10.06(b)(vi) and (h)) is replaced with a reference to “Loan”.

 

(f)    Schedules I and II of the Credit Agreement are amended in full with Schedules 2 and 3 of this Amendment, respectively.

 

SECTION 3.           Conditions to Effectiveness on Effective Date.  This Amendment,

 

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and the obligations of the Incremental Term Loan Lenders to make their respective New Term Loan Commitments, and to fund their respective New Term Loans, as specified in Section 1 hereof, shall become effective on and as of the Business Day occurring on or before April 30, 2011 on which the following conditions shall have been satisfied (the “Effective Date”):

 

(a)           The Administrative Agent (or its counsel) shall have received from each party hereto or to the Consent attached hereto either (i) a counterpart of this Amendment and the Consent signed on behalf of such party, as applicable, or (ii) written evidence satisfactory to the Administrative Agent (which may include telecopy transmission of a signed signature page of this Amendment) that such party has signed a counterpart of this Amendment and the Consent, as applicable.

 

(b)           The Administrative Agent shall have received a Borrowing Notice, completed and delivered in accordance with the terms of Section 2.02 of the Credit Agreement.

 

(c)           The Administrative Agent shall have received, on behalf of itself and the Lenders, a favorable written opinion of Akin Gump Strauss Hauer and Feld, LLP, special counsel to the Borrower and the other Loan Parties, (i) dated the Effective Date, (ii) addressed to the Administrative Agent, the Collateral Agent and the Lenders, and (iii) in form and substance reasonably satisfactory to the Administrative Agent, and covering such matters as the Administrative Agent shall reasonably request relating to, as applicable, this Amendment and the other documents delivered in connection herewith on behalf of the Loan Parties, and each of the Borrower and the other Loan Parties hereby instructs its counsel to deliver such opinions.

 

(d)           All legal matters incident to this Amendment, the extensions of credit under the Credit Agreement as amended hereby and the other documents delivered in connection herewith or therewith shall be reasonably satisfactory to the Administrative Agent and to each Incremental Term Lender on the Effective Date.

 

(e)           The Administrative Agent shall have received each of the items referred to below:

 

(i)            a certificate of a Responsible Officer of the Borrower, dated the Effective Date and certifying:

 

(A)          that attached thereto is a true and correct copy of the resolutions of the Board of Directors or equivalent governing body of the Borrower approving the New Term Loan Facility and the Loan Documents to which it is or is to be a party; and

 

(B)           that there have been no changes to the documents delivered to the Administrative Agent pursuant to Section 4.01(a)(v)(A) and (B), and (a)(vi) of the Credit Agreement on the Closing Date;

 

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(ii)           a Certificate of a Responsible Officer of the Borrower, dated the Effective Date and certifying:

 

(A)          that before and after giving effect to the New Term Loan Facility, (1) the representations and warranties of the Borrower contained in Article V of the Credit Agreement as amended hereby and the other Loan Documents are true and correct in all material respects on and as of the Effective Date, (except to the extent such representations and warranties specifically refer to an earlier date, in which case such representations and warranties are true and correct as of such earlier date) and (2) no Default or Event of Default exists.

 

(iii)          a copy of the written notice from the Borrower requesting the New Term Loan Commitments constituting the Aggregate Incremental Term Loan Commitment, executed and delivered by the Borrower pursuant to Section 2.10(a) of the Credit Agreement; and

 

(iv)          a certificate from a Responsible Officer certifying that the Borrower is in compliance, on a pro forma basis after giving effect to the borrowing under the New Term Loan Facility, with Section 7.08 of the Credit Agreement, with such covenants recomputed as of the last day of the most recently ended fiscal quarter of the Borrower for which financial statements are available, as if such New Term Loans or Additional Term Commitments had occurred on the first day of each relevant period for testing such compliance; provided, that such certificate shall include reasonably detailed calculations demonstrating the Borrower’s compliance with such condition.

 

(f)            The Administrative Agent and the Incremental Term Loan Lenders shall have received all fees due and payable thereto on or prior to the Effective Date and, to the extent invoiced, all other amounts due and payable pursuant to the Loan Documents on or prior to the Effective Date, including, to the extent invoiced, reimbursement or payment of such portion of the reasonable out-of-pocket expenses (including reasonable fees, charges and disbursements of Shearman & Sterling LLP) as is required to be reimbursed or paid by the Loan Parties hereunder or under any Loan Document.

 

SECTION 4.           Reference to and Effect on the Credit Agreement; Confirmation of Guarantors.

 

(a)   On and after the effectiveness of this Amendment, each reference in the Credit Agreement to “this Agreement”, “hereunder”, “hereof” or words of like import referring to the Credit Agreement, shall mean and be a reference to the Credit Agreement, as amended by, and after giving effect to, this Amendment.

 

(b)   Each Loan Document, after giving effect to this Amendment, is and shall continue to be in full force and effect and is hereby in all respects ratified and confirmed, except that, on and after the effectiveness of this Amendment, each reference in each of the Loan Documents (including the Subsidiary Guaranty and the other Collateral Documents) to the

 

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“Credit Agreement”, “thereunder”, “thereof” or words of like import referring to the Credit Agreement shall mean and be a reference to the Credit Agreement, as amended by, and after giving effect to, this Amendment.  Without limiting the generality of the foregoing, the Collateral Documents and all of the Collateral described therein do and shall continue to secure the payment of all Obligations of the Loan Parties under the Loan Documents, as amended by, and after giving effect to, this Amendment, in each case subject to the terms thereof.

 

(c)   The Borrower hereby (i) ratifies and reaffirms all of its payment and performance obligations, contingent or otherwise, under each of the Loan Documents to which it is a party and (ii) ratifies and reaffirms each grant of a lien on, or security interest in, its property made pursuant to the Loan Documents (including, without limitation, the grant of security made by the Borrower pursuant to the Security Agreement) and confirms that such liens and security interests continue to secure the Obligations under the Loan Documents, including, without limitation, all Obligations resulting from or incurred pursuant to the Aggregate Incremental Term Loan Commitment, in each case subject to the terms thereof.

 

(d)   The execution, delivery and effectiveness of this Amendment shall not, except as expressly provided herein, operate as a waiver of any right, power or remedy of any Lender or any Agent under any of the Loan Documents, or constitute a waiver of any provision of any of the Loan Documents.

 

SECTION 5.           Costs, Expenses.  The Borrower agrees to pay on demand all reasonable out of pocket costs and expenses of the Administrative Agent in connection with the preparation, execution and delivery of this Amendment and the other instruments and documents to be delivered hereunder (including, without limitation, the reasonable fees and expenses of counsel for the Administrative Agent).

 

SECTION 6.           Execution in Counterparts.  This Amendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute but one and the same agreement.  Delivery of an executed counterpart of a signature page to this Amendment by telecopier (or other electronic transmission) shall be effective as delivery of a manually executed counterpart of this Amendment.

 

SECTION 7.           WAIVER OF JURY TRIAL.  EACH PARTY HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AMENDMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).  EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PERSON HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PERSON WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AMENDMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS

 

7

 

SECTION 7.

 

SECTION 8.           Governing Law.  THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 

8

 

 

IN WITNESS WHEREOF, the parties hereto have caused this Incremental Amendment to be executed by their respective officers thereunto duly authorized, as of the date first above written.

 

	
 
    	
AVENTINE   RENEWABLE ENERGY HOLDINGS, INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   John W. Castle
    
	
 
    	
 
    	
Name:   John W. Castle
    
	
 
    	
 
    	
Title:   Chief Financial Officer
    

 

[SIGNATURE PAGE]

 

 

	
 
    	
CITIBANK,   N.A.,
    
	
 
    	
as   Administrative Agent
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Kirkwood Roland
    
	
 
    	
 
    	
Name:   Kirkwood Roland
    
	
 
    	
 
    	
Title:   Vice President
    

 

[SIGNATURE PAGE]

 

 

	
 
    	
MACQUARIE   BANK LIMITED,
    
	
 
    	
as   Incremental Term Lender
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Mark Topfer
    
	
 
    	
 
    	
Name:   Mark Topfer
    
	
 
    	
 
    	
Title:   Division Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Michele Del Bo
    
	
 
    	
 
    	
Name:   Michele Del Bo
    
	
 
    	
 
    	
Title:   Division Director
    

 

[SIGNATURE PAGE]

 

 

Schedule 1

 

New Term Loan Commitments and Incremental Term Loan Lenders

 

	
Incremental Term Loan Lender
    	
 
    	
Incremental
   Commitment
    	
 
    
	
Macquarie Bank Limited
    	
 
    	
$
    	
25,000,000.00
    	
 
    
	
Total
    	
 
    	
$
    	
25,000,000.00
    	
 
    

 

 

Schedule 2

 

SCHEDULE I

 

COMMITMENTS AND APPLICABLE LENDING OFFICES

 

As per the Register maintained by the Administrative Agent pursuant to Section 10.06(c) of the Credit Agreement.

 

 

Schedule 3

 

SCHEDULE II

 

REPAYMENT OF LOANS

 

 

	
Payment Date
    	
 
    	
Amount
    	
 
    
	
3/30/2011
    	
 
    	
$
    	
500,000
    	
 
    
	
6/30/2011
    	
 
    	
$
    	
562,500
    	
 
    
	
9/30/2011
    	
 
    	
$
    	
562,500
    	
 
    
	
12/31/2011
    	
 
    	
$
    	
562,500
    	
 
    
	
3/31/2012
    	
 
    	
$
    	
562,500
    	
 
    
	
6/30/2012
    	
 
    	
$
    	
562,500
    	
 
    
	
9/30/2012
    	
 
    	
$
    	
562,500
    	
 
    
	
12/31/2012
    	
 
    	
$
    	
562,500
    	
 
    
	
3/31/2013
    	
 
    	
$
    	
562,500
    	
 
    
	
6/30/2013
    	
 
    	
$
    	
562,500
    	
 
    
	
9/30/2013
    	
 
    	
$
    	
562,500
    	
 
    
	
12/31/2013
    	
 
    	
$
    	
562,500
    	
 
    
	
3/31/2014
    	
 
    	
$
    	
562,500
    	
 
    
	
6/30/2014
    	
 
    	
$
    	
562,500
    	
 
    
	
9/30/2014
    	
 
    	
$
    	
562,500
    	
 
    
	
12/31/2014
    	
 
    	
$
    	
562,500
    	
 
    
	
3/31/2015
    	
 
    	
$
    	
562,500
    	
 
    
	
6/30/2015
    	
 
    	
$
    	
562,500
    	
 
    
	
9/30/2015
    	
 
    	
$
    	
562,500
    	
 
    
	
Maturity   Date
    	
 
    	
$
    	
214,375,000
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Total
    	
 
    	
$
    	
225,000,000

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00189-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00189-of-00352.parquet"}]]