Document:

ssb_Ex10_1

		
			Exhibit 10.1
		

		
			AMENDMENT NO. 5
		

		
			Dated as of November 15, 2017
		

		
			to and under
		

		
			Credit Agreement
		

		
			Dated as of October 28, 2013, as Amended
		

		
			Each of SOUTH STATE CORPORATION, formerly known as “First Financial Holdings, Inc.” (the “Company”), and U.S. BANK NATIONAL ASSOCIATION (the “Lender”) agree as follows:
		

		
			1.         Credit Agreement.
		

		
			Reference is made to the Credit Agreement, dated as of October 28, 2013,  between the Company and the Lender, as amended by Amendment No. 1, dated as of October 27, 2014 (“Amendment No. 1”), between the Company and the Lender, and as further amended by the Agreement to Reinstate and Amendment No. 2, dated as of November 5, 2015 (“Amendment No. 2”), between the Company and the Lender, and as further amended by Amendment No. 3, dated as of November 16, 2015 (“Amendment No. 3”), between the Company and the Lender, and as further amended by the Amendment No. 4, dated as of November 15, 2016 (“Amendment No. 4”), between the Company and the Lender (said credit agreement, as so amended, the “Credit Agreement”).  Terms used but not defined in this Amendment No. 5  (this “Amendment”)  shall have the meanings ascribed to them in the Credit Agreement.
		

		
			2.         Amendments.  On and after the Effective Date (as defined in Section 5 below), the Credit Agreement shall be amended as hereinafter set forth.
		

		
			(a)        Section 1.1(a) shall be amended:
		

		
			(i)     by deleting the definition of “Commitment Fee Percentage” in its entirety and replacing it with the following:
		

		
			“‘Commitment Fee Percentage’ shall mean, for any Fiscal Quarter (or portion thereof), (a) 0.300%, if the Investment Balance for such Fiscal Quarter is less than $5,000,000, (b) 0.155%, if the Investment Balance for such Fiscal Quarter is at least $5,000,000 but less than $10,000,000, and (c) 0.035%, if the Investment Balance for such Fiscal Quarter is at least $10,000,000.”; and
		

		
			(ii)    by deleting the definition of “LIBOR Rate” in its entirety and replacing it with the following:
		

		
			“LIBOR Rate” shall mean an annual rate equal to 1.75% plus the one-month LIBOR rate quoted by the Lender from Reuters Screen LIBOR01 Page or any successor
		

		
			
		

		
			

		 

 

		

		
			thereto which may be designated by the Lender as provided below, which shall be that one-month LIBOR rate in effect two New York Banking Days prior to the Reprice Date, adjusted for any reserve requirement and any subsequent costs arising from a change in government regulation, such rate to be reset monthly on each Reprice Date.  If the initial advance under any Note occurs other than on the Reprice Date, the initial one-month LIBOR rate shall be that one-month LIBOR rate in effect two New York Banking Days prior to the date of the initial advance, which rate plus the percentage described above shall be in effect until the next Reprice Date.  The Lender’s internal records of applicable interest rates (including without limitation the Lender’s designation of any successor interest rate index if the rate index described above shall become temporarily unavailable or shall cease to exist) shall be determinative in the absence of manifest error.”; and
		

		
			(iii)   by deleting the date “November 15, 2017” where it appears in the definition of “Termination Date” and replacing said date with “November 15, 2018”.
		

		
			3.         Continuing Effect of Credit Agreement.  The provisions of the Credit Agreement, as amended by the amendments in Section 2 hereof, are and shall remain in full force and effect and are hereby in all respects confirmed, approved and ratified.
		

		
			4.         Representations and Warranties.  In order to induce the Lender to agree to the amendment contained herein, the Company hereby represents and warrants as follows:
		

		
			(a)        The Company has the power, and has taken all necessary action to authorize it, to execute, deliver and perform in accordance with their respective terms, this Amendment and the Credit Agreement as amended by this Amendment.  This Amendment has been duly executed and delivered by the duly authorized officers of the Company and is, and the Credit Agreement as amended by this Amendment is, the legal, valid and binding obligation of the Company enforceable in accordance with its terms.
		

		
			(b)        Each of the representations and warranties set forth in Section 3 of the Credit Agreement, after giving effect to this Amendment, shall be made at and as of the Effective Date, except to the extent that any such representations or warranties are made as of a specified date or with respect to a specified period of time, in which case such representations and warranties shall be made as of such specified date or with respect to such specified period.
		

		
			5.         Conditions to Effectiveness.  This Amendment shall be effective as of November 15, 2017  (the “Effective Date”), but only after the Lender, in its sole discretion, shall have determined that each of the following conditions has been satisfied by the Company or waived by the Lender:
		

		
			(a)        The Lender shall have received each of the following in form and substance satisfactory to it:
		

		
			(i)         this Amendment duly executed by the Company and the Lender;
		

		
			
		

		
			

		 

		

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			(ii)    an incumbency certificate, dated the Effective Date, executed by the secretary or assistant secretary of the Company, which shall identify by name and title, and bear the signature of, each officer of the Company authorized to sign this Amendment and the documents delivered by the Company hereunder and to effect the amendments contemplated hereby (each such officer, an “Authorized Officer”);
		

		
			(iii)   either a copy of the by-laws of the Company, certified on the Effective Date by the secretary or assistant secretary of the Company, or a certificate, dated the Effective Date, of the secretary or assistant secretary of the Company certifying that the by-laws of the Company, as delivered to the Lender under Section 4.1 of the Credit Agreement, remain in full force and effect without amendment or modification of any kind;
		

		
			(iv)   either a copy of the by-laws of South State Bank, certified on the Effective Date by the secretary or assistant secretary of the South State Bank, or a certificate, dated the Effective Date, of the secretary or assistant secretary of South State Bank certifying that the by-laws of South State Bank, as delivered to the Lender under Section 4.1 of the Credit Agreement, remain in full force and effect without amendment or modification of any kind;
		

		
			(v)    a Certificate of Existence for the Company, issued by the Office of the Secretary of State of South Carolina, and either certified copies of the Articles of Incorporation of the Company, issued by the Office of the Secretary of State of South Carolina, or a certificate, dated the Effective Date, of the secretary or assistant secretary of the Company certifying that the Articles of Incorporation of the Company, as delivered to the Lender under Section 4.1 of the Credit Agreement, remain in full force and effect without amendment or modification of any kind;
		

		
			(vi)   a Certificate of Existence for South State Bank, issued by the Office of the Secretary of State of South Carolina, and either certified copies of the Articles of Incorporation of South State Bank, issued by the Office of the Secretary of State of South Carolina, or a certificate, dated the Effective Date, of the secretary or assistant secretary of South State Bank certifying that the Articles of Incorporation of South State Bank, as delivered to the Lender under Section 5(a)(vi) of Amendment No. 4, remain in full force and effect without amendment or modification of any kind;
		

		
			(vii)  copies (in form and substance satisfactory to the Lender), certified on the Effective Date by the secretary or assistant secretary of the Company, of resolutions of the Company authorizing the execution and delivery of this Amendment;
		

		
			(viii) a certificate, dated the Effective Date, of an Authorized Officer stating that each representation made or deemed made under Section 4 of this Amendment is true and correct on and as of such date or, in the case of
		

		
			
		

		
			

		 

		

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			any such representation or warranty that is made as of a specified date or with respect to a specified period of time, as of such specified date or with respect to such specified period and that all conditions precedent to the Effective Date have been satisfied by the Company;
		

		
			(ix)   an opinion of counsel for the Company, who may be in-house counsel, dated the Effective Date, with respect to this Amendment, the Credit Agreement as amended hereby, and the matters contemplated hereby and thereby; and
		

		
			(x)    such other information, documents or materials as the Lender may have reasonably requested.
		

		
			6.         Governing Law.  This Amendment shall, pursuant to New York General Obligations Law 5-1401, be construed in accordance with and governed by the law of the State of New York.
		

		
			7.         Counterparts.  This Amendment may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto were upon the same instrument.
		

		
			8.         Headings.  Section headings in this Amendment are included herein for convenience and reference only and shall not constitute a part of this Amendment for any other purpose.
		

		
			[Signature page follows.]
		

		
			 
		

		
			 
		

		
			

		 

		

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			IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by their duly authorized officers all as of the date hereinabove set forth.
		

		
			 
		

			
					
						 

					
					
						SOUTH STATE CORPORATION

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/William C. Bochette, III

				
	
					
						 

					
					
						Name:

					
					
						William C. Bochette, III

				
	
					
						 

					
					
						Title:

					
					
						EVP & Treasurer

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						U.S. BANK NATIONAL ASSOCIATION

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						By:

					
					
						/s/ Jeffrey P. Googins

				
	
					
						 

					
					
						Name:

					
					
						Jeffrey P. Googins

				
	
					
						 

					
					
						Title:

					
					
						Senior Vice President

				

		
			 
		

		 

		

			Amendment No. 5Exhibit

Exhibit 10.1
Date Given to Employee:  November 13, 2017

SEPARATION, SEVERANCE AND GENERAL RELEASE AGREEMENT
This Separation, Severance and General Release Agreement ("the “Agreement") is between Dennis McWilliams (“Employee”) and Apollo Endosurgery, Inc. (the “Company”).
WHEREAS:
		
	a)
	Employee has been employed by Company pursuant to an employment agreement, dated June 1, 2006, as amended (the “Employment Agreement”);

		
	b)
	Employee has voluntarily resigned, effective November 13, 2017 (“Separation Date”); and

		
	c)
	The parties desire to settle all claims and issues between Employee and Company to date, including, but not limited to, Employee’s employment with Company or the termination of that employment.

THEREFORE:
For mutual consideration the adequacy and sufficiency of which is acknowledged by the parties, the parties agree as follows:
1.Severance Benefits.  
The Company will pay to Employee a total of $175,000, less applicable withholding. Such amount represents six (6) months’ worth of Employee’s base salary. The payment will be made in a lump sum, in accordance with the Company’s normal payroll procedures, within 7 business days following the Effective Date provided that Employee has not revoked this Agreement. In the event that Employee breaches this Agreement or the Non-Competition Agreement (as defined later), the Company may, at its sole election, choose to rescind this Agreement in which case Employee must also pay back to the Company any severance benefit Employee has received under this Agreement.   Any existing equity awards previously granted to Employee shall continue to vest until January 15, 2018.
2.Health Insurance; COBRA Rights.  
Current healthcare benefits will continue through the end of November 2017.  As required by law, Employee will be offered the opportunity to elect continuation of coverage under the group medical plan(s) of the Company. Employee will be provided with the appropriate notices and election forms for this purpose. The existence and duration of Employee’s continuation rights and/or the continuation rights of any of Employee’s eligible dependents will be determined in accordance with the law.
If Employee timely elects group health insurance coverage under COBRA and does not revoke this Agreement, the Company will pay Employee’s monthly COBRA premiums (including the cost of coverage for Employee’s dependents if enrolled) through the earliest of the following (i) July 31, 2018; (ii) the date that Employee becomes eligible for group health insurance coverage through a new employer; or (iii) the date that Employee is no longer eligible for COBRA coverage.  Employee must provide prompt written notice to the Company if Employee becomes eligible for group health insurance coverage 

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through a new employer before July 31, 2018. The payments under this section will begin after the Effective Date. No Other Entitlements.  
As of the Separation Date, Employee acknowledges that Employee will no longer be entitled to any other benefits, payments, or contributions from the Company other than those specifically provided for in this Agreement.
3.Earned Compensation.  
Employee specifically acknowledges that, as of the date of Employee’s execution of this Agreement, Employee has received all wages, employment compensation, PTO, and reimbursements to which Employee is entitled through and including the Separation Date.
4.Non-Admission.  
The Parties understand and agree that this Agreement does not represent any admission of liability or misconduct by any person or entity for any purpose.
5.Release.  
		
	(a)
	General Release.

Employee unconditionally, irrevocably and absolutely releases and discharges Company, and any parent or subsidiary corporations, divisions or affiliated corporations, partnerships or other affiliated entities of the foregoing, past and present, as well as their past and present employees, officers, directors, shareholders, agents, successors and assigns (collectively, “Released Parties”), from all claims related in any way to the transactions or occurrences between them to date, to the fullest extent permitted by law, including, but not limited to, Employee’s employment with Company, Employee’s separation from Company, and all other losses, liabilities, claims, charges, demands and causes of action, known or unknown, suspected or unsuspected, arising directly or indirectly out of or in any way connected with Employee’s employment with Company.  This release is intended to have the broadest possible application and includes, but is not limited to, any tort, contract, common law, constitutional or other statutory claims, including, as applicable, but not limited to alleged violations of Title VII of the Civil Rights Act, the Family and Medical Leave Act, the Americans with Disabilities Act, the Equal Pay Act, the Genetic Information Nondiscrimination Act of 2008, the Lily Ledbetter Fair Pay Restoration Act of 2009, the Employee Retirement Income Security Act, Sections 1981-1983 of Title 42 of the United States Code, the Worker Adjustment and Retraining Notification Act, the Texas Labor Code, as well as any claims under local statutes and ordinances that may be legally waived and released, and/or any other federal, state, or local law (statutory, regulatory or otherwise) that may be legally waived and released, and claims for promissory estoppel or detrimental reliance, claims for wages, bonuses, incentive compensation and severance allowances or entitlements, wrongful discharge, all claims for fraud, slander, libel, defamation, disparagement, intentional infliction of emotional distress, invasion of privacy, nonphysical injury, personal injury or sickness or any other harm, negligence, breach of contract, compensatory or punitive damages, or any other claim for damages or injury of any kind whatsoever, and all claims for monetary recovery, including, without limitation, attorneys' fees, experts' 

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fees, medical fees or expenses, costs and disbursements. Employee expressly waives any claims he may have with regard to his Employment Agreement, including without limitation any claim of severance.  
		
	(b)
	Waiver of Recovery.

Employee expressly waives Employee’s right to recovery of any type, including damages or reinstatement, in any administrative or court action, whether local, state or federal, and whether brought by Employee or on Employee’s behalf, related in any way to the matters released herein.  
		
	(c)
	Nonwaivable Claims.

The parties acknowledge that this general release is not intended to bar any claims that, by statute, may not be waived, such as Employee’s right to file a charge with the National Labor Relations Board or Equal Employment Opportunity Commission and other similar government agencies. However, Employee hereby disclaims and waives any right to share or participate in any monetary award resulting from the prosecution of such charge or investigation. The parties also acknowledge that this general release is not intended to bar claims for statutory indemnity, workers’ compensation benefits or unemployment insurance benefits, as applicable. However, the parties agree that McWilliams’s expert consulting or other professional activities taken on outside of his employment with Company would not be covered by any indemnity or insurance agreement between McWilliams and the Company.
		
	(d)
	Discovery of Additional Facts.

Employee acknowledges that Employee may discover facts or law different from, or in addition to, the facts or law that Employee knows or believes to be true with respect to the claims released in this Agreement and agrees, nonetheless, that this Agreement and the release contained in it shall be and remain effective in all respects notwithstanding such different or additional facts or the discovery of them.
		
	(e)
	Complete Release.

Employee declares and represents that Employee intends this Agreement to be complete and not subject to any claim of mistake, and that the release herein expresses a full and complete release and Employee intends the release herein to be final and complete.  Employee executes this release with the full knowledge that this release covers all possible claims against the Released Parties, to the fullest extent permitted by law. 

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6.ADEA Provisions. 
Employee acknowledges that Employee is waiving and releasing any rights Employee may have under the Age Discrimination in Employment Act of 1967 (“ADEA”) and that this waiver and release is knowing and voluntary.  The Parties agree that this waiver and release does not apply to any rights or claims that may arise under ADEA after the Effective Date of this Agreement.  Employee acknowledges that the consideration given for this waiver and release agreement is in addition to anything of value to which Employee is already entitled.  Employee further acknowledges that Employee has been advised by this writing that (a) Employee should consult with an attorney before executing this Agreement; (b) Employee has at least 21 days to consider this Agreement; (c) Employee has at least seven days following the execution of this Agreement to revoke the Agreement; and (d) this Agreement shall not be effective until the revocation period has expired and no revocation has been made.  Revocation can be made by delivering a written notice of revocation to Brian Szymczak by mail, fax, or email at brian.szymczak@apolloendo.com, at the Austin office location, such that Mr. Szymczak receives such revocation before midnight, CST on the seventh day after Employee’s signature below. Assuming that no revocation is made, the Effective Date of this Agreement is the eighth day after Employee’s signature below (“Effective Date”). Nothing in this Agreement prevents or precludes Employee from challenging or seeking a determination in good faith of the validity of this waiver under the ADEA, nor does it impose any condition precedent, penalties or costs for doing so, unless specifically authorized by federal law.
7.Representations and Acknowledgements.  
Employee represents to each of the Releasees that at no time before Employee’s execution of this Agreement has Employee filed or caused or permitted the filing of any charge, claim or action of any kind, nature and character whatsoever, which Employee may now have or has ever had against any of the Releasees that is based in whole or in part on any matter released above.  
8.Non-Disparagement. 
Employee agrees that Employee will not disparage the Company or any of the Releasees, or any of their respective officers, directors, employees, products or services.  
9.No Future Employment with Company.  
Employee represents that Employee does not desire re-employment with Company, and hereby expressly waives any and all rights, if any, that Employee may have to employment or consideration for employment with Company.  

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10.Confidentiality and Return of Company Property.  
Employee understands and agrees that as a condition of receiving the severance benefits, all Company property must be returned to Company within 10 days of the Separation Date or upon such other date as directed by the Company in writing.  By signing this Agreement, Employee represents and warrants that Employee will return all Company property, data and information belonging to Company, including all technical data, marketing materials, customer lists, and information of whatever nature, as well as any other materials, keys, passcodes, access cards, credit cards, computers, documents or information, including but not limited to confidential information in Employee’s possession or control.  Further, Employee represents, warrants, and agrees that Employee shall retain no copies thereof, including electronic copies and will not disclose such information to any third party. Employee agrees Employee will not use or disclose to others any confidential or proprietary information of Company or the Released Parties in accordance with Employee’s obligations under the Non-Competition Agreement.
11.Non-Competition.
The Parties acknowledge the Covenant of Non-Competition existing in the Invention, Confidential Information and Non-Competition Agreement entered between the Company and Employee September 1, 2006 (the “Invention Agreement”).  The Parties agree to waive Employee’s specific non-competition obligations under the Invention Agreement after July 31, 2018.  With respect to the non-competition covenant in Section 7 of the Invention Agreement the parties acknowledge and agree that the Employee is required to request a formal waiver from the Company releasing him prior to July 31, 2018 from his non-compete obligations in the Innovations Agreement.  
12.Arbitration
Any disputes arising from this Agreement shall be resolved through final, binding, and confidential arbitration in Austin, Texas before an arbitrator mutually selected by the parties. In the event the parties cannot agree on an arbitrator, then each party shall select an arbitrator, both of whom shall select a third arbitrator and the matter will be submitted to a three-arbitrator panel. Cost shall be equally split by the parties during the course of the arbitration, but after hearing all evidence, the arbitrator may alter that percent of split of cost between the parties as part of the arbitrator’s final decision. 
13.Third Party Beneficiaries.  
As third-party beneficiaries of this Agreement, the Releasees (or any of them) will be entitled to enforce this Agreement in accordance with its terms in respect of the rights granted to such Releasees.  There are no other third-party beneficiaries to this Agreement.
14.No Precedential Effect.  
By entering into this Agreement, it is not the intention of the Company to establish any policy, procedure, course of dealing or plan of general application irrespective of any similarity in facts or circumstances involving such other employee, on the one hand, and Employee, on the other hand.
15.Entire Agreement.  
This Agreement contains the entire agreement between the parties with respect to the subject matter set forth in this Agreement, and supersedes and preempts all other agreements and obligations 

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between the parties. The terms and conditions of this Agreement are contractual and not a mere recital. No part of this Agreement may be changed except in writing executed by the parties. The parties acknowledge and agree that Employee has certain continuing obligations as contained in the Invention, Confidential Information and Non-Competition Agreement, dated September 1, 2006 (“Non-Competition Agreement”). The parties acknowledge and agree that this Agreement does not affect any of Employee’s obligations and responsibilities in the Non-Competition Agreement. 
16.Choice of Law. 
This Agreement will be interpreted in accordance with the laws of the State of Texas, without reference to its conflicts of laws principles.  
17.Headings.  
Any titles, captions and headings contained in this Agreement are inserted for convenience of reference only and are not intended to be a part of or to affect in any way the meaning or interpretation of this Agreement.
IN WITNESS WHEREOF, the parties have executed this Agreement effective as of the date of the last signature affixed below.
READ CAREFULLY BEFORE SIGNING
I have read this Agreement and have had adequate opportunity for review prior to my signing of this Agreement.  I understand that by executing this Agreement I will relinquish any right or demand I may have against the Releasees.

	
					
	 
	 
	 
	DENNIS MCWILLIAMS
	 

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

	Dated:
	November 15, 2017
	 
	/s/ Dennis McWilliams
	 

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

	 
	 
	 
	APOLLO ENDOSURGERY, INC.
	 

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

	Dated:
	November 15, 2017
	 
	Mary League
	 

	 
	 
	 
	Name: Mary League
	 

	 
	 
	 
	Title: Vice President of Human Resources
	 

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