Document:

Exhibit 10.1

 

LONE STAR
TECHNOLOGIES, INC.

PHANTOM
STOCK DEFERRED COMPENSATION PLAN

 

Purpose:  The purpose of the Plan is to set forth the
terms and conditions of the phantom stock deferred compensation arrangement
that Lone Star Technologies, Inc. (the “Company”) makes available to its
non-employee directors. The Plan and the form of deferred compensation
agreement (the “Agreement”) fix in advance the specific terms of the grant and
cash settlement of phantom stock rights in satisfaction of the requirements of Rule 16b-3
of the Securities and Exchange Commission. 
That rule exempts all transactions contemplated by the Plan from
the short-swing profits liability provisions of Section 16(b) of the
Securities Exchange Act of 1934.

 

Participation:  Any non-employee director of the Company who
is entitled to receive compensation from the Company for serving on its Board
of Directors may participate in the Plan. 
An eligible director who elects to have his compensation earned during a
calendar year deferred under the Plan shall notify the Company’s Secretary of
his election no later than the last business day of the preceding calendar
year. The Board of Directors may permit a newly-elected or appointed
non-employee director to elect to defer compensation earned during the balance
of the calendar year in which such director is first elected or appointed,
provided that such deferral election is made within thirty days after the date
of such election or appointment and applies only to compensation earned after
the date of the deferral election. Upon receiving the director’s notification,
the Company and the director will enter into an Agreement containing such terms
and conditions not inconsistent with the Plan as the Company deems appropriate.

 

Director’s Account:
The Company will establish a bookkeeping account (a “Director’s Account”) in
the name of each Director who elects to defer compensation under the Plan.  As of the end of each calendar quarter with
respect to which a Director’s compensation is deferred, the Director’s Account
shall be credited with a number of deferred compensation units (“Units”) equal
to the quotient of the Director’s compensation for the quarter (including Board
and committee meeting fees) divided by the closing price per share of the
Company’s Common Stock in the open market as of such date (if such stock was
traded in the open market on such date, but if not, then the closing price per
share of such stock in the open market as of the next preceding date such stock
was traded in the open market).  If the
Company effects a split of its shares of Common Stock or pays a dividend in the
form of shares of the Company’s Common Stock, or if the outstanding shares of
the Company’s Common Stock are combined into a smaller number of shares, the
Units then credited to Director’s Account shall be increased or decreased to
reflect proportionately the increase or decrease in the number of outstanding
shares of the Company’s Common Stock resulting from such split, dividend or
combination.  In the event of a dividend
on or reclassification of shares of the Company’s Common Stock not covered by
the foregoing, or in the event of the liquidation or reorganization of the
Company, the Board of Directors of the Company shall make such adjustments, if
any, to the Directors’ Accounts as such Board may deem appropriate. For
purposes of the Plan, 

 

 

the
value of a Director’s Account as of any date will be an amount equal to
the product of the number of deferred compensation Units credited to such Director’s Account
and the closing price per share of the Company’s Common Stock in the open
market on such date (if such stock was traded in the open market on such date,
but if not, then the closing price per share of such stock in the open market
as of the next preceding date such stock was traded in the open market).

 

Payment of
Deferral Accounts: A Director’s deferral election for
each year beginning after December 31, 2005 may include an election of the
date payment of the deferral account for that year will be made or begin and
the manner in which payment of such account will be made. The date payment of
the deferral account will be made or begin shall be more than six months
following the date of the Director’s deferral election.  With respect to years ending before January 1,
2006, and, if and to the extent the time and manner of payment is not specified
in a Director’s deferral election for a year beginning after December 31,
2005, the Director will be deemed to have elected to receive his deferral
account for such year in the form of a lump sum cash payment at or as soon as
practicable after the end of the calendar quarter in which the Director ceases
to be a member of the Board.  A Director may,
with the approval of the Board of Directors, make prospective changes to the
Director’s payment election(s) or deemed payment election(s), subject to the
timing and other requirements applicable to subsequent deferral elections under
Section 409A of the Internal Revenue Code of 1986, including any
applicable transition rules with respect to pre-2007 deferrals. Unless the
Company determines otherwise, (a) the available forms of payment include a
lump sum distribution and the payment of equal quarterly or less frequent
installments over a period not exceeding ten years, subject to acceleration due
to death, change in control or other acceleration event permitted by the
Company and Section 409A of the Internal Revenue Code; and (b) payment
will be made or begin on the earlier of the date elected by the Director or the
date on which the Director ceases to be a member of the Board of Directors,
subject to acceleration as described in (a) above.

 

Construction:  The Company intends that the Plan will comply
with the deferral and payment requirements of Section 409A of the Internal
Revenue Code. The Plan will be construed and applied accordingly. Unless the
Board of Directors determines otherwise, the Plan will be administered by the
Board of Directors.

 

Amendment and Termination of the Plan:  The Board of Directors of the Company
reserves the right at any time to modify or terminate the Plan, except that the
Board of Directors may not impair any deferrals of compensation already made
under the Plan. Subject to the provisions of the Plan and applicable law, the
Company may permit the amendment of outstanding deferral agreements at any time
and from time to time.Exhibit 10.1

 

LOAN EXTENSION AGREEMENT

 

This Loan
Extension Agreement is dated as of this 28th day of December, 2005, by and
between Wachovia  Bank, National Association, a
national banking association with a place of business at One Boston Place, Boston,
Massachusetts (the “Lender”), ALLTX, LLC,
a Delaware limited liability company with an office at One Boston Place,
Boston, Massachusetts  02108 (the “Borrower”),
in consideration of the mutual covenants contained herein and the benefits to
be derived herefrom.

 

W I T N E S S E T H:

 

WHEREAS,
the Lender and the Borrower have entered into a certain loan arrangement (the “Loan
Arrangement”), which Loan Arrangement is evidenced by, among other documents
and instruments, a certain Loan Agreement dated as of September 15, 2005
(the “Loan Agreement”; capitalized terms used herein shall have the meanings
given in the Loan Agreement) and that certain Promissory Note dated as of September 15,
2005 made by the Borrower payable to the Lender in the original principal amount
of $5,556,347.50 (the “Note”); and

 

WHEREAS,
the Borrower has requested that the Lender extend the maturity date of the Note
as set forth herein and the Lender has agreed to do so upon the terms and
conditions set forth herein.

 

NOW,
THEREFORE, it is agreed by and between the Lender and
the Borrower as follows:

 

1.             The Lender and the Borrower hereby
agree that the maturity date of the Note is extended until July 3, 2006.  Until the Maturity Date, the Borrower shall
continue to pay, as and when due, all principal and accrued and unpaid interest
required pursuant to the terms of the Loan Agreement and the Note.

 

2.             The Borrower acknowledges and
agrees that, as of the date herein, the outstanding principal balance due under
the Note is $5,556,347.50.

 

3.             Upon the execution hereof, the
Borrower shall provide the Lender with written evidence that the maturity dates
of the BCP Loan and the REIT Line have been extended for a term ending no
earlier than January 1, 2007.

 

4.             Upon the execution hereof, the
Borrower shall pay to the Lender an extension fee of $23,280.00, in addition to
all fees and expenses incurred by the Lender in connection with the Loan
Arrangement.

 

5.             Provided no Default or Event of Default
shall then be in existence, the Lender shall extend the Maturity Date for an
additional period through January 1, 2007, upon the satisfaction of the
following conditions:

 

 

5.1           Payment by the Borrower of an
extension fee equal to 42 basis points of the outstanding balance of the Note
as of July 3, 2006; and

 

5.2           The Borrower provides written notice
to the Lender of its request for an extension of the Maturity Date no later
than June 3, 2006.

 

6.             The Borrower acknowledges and
agrees that any and all collateral granted by the Borrower or any other party
to secure the obligations of the Borrower under the Note and the Loan Agreement
shall remain in full force and effect and shall continue to secure the
obligations of the Borrower to the Lender.

 

7.             It is intended that this Extension
Agreement take effect as an instrument under the seal of the laws of the
Commonwealth of Massachusetts.  This
Extension Agreement constitutes the entire agreement of the parties with
respect to the matters set forth herein and shall not be modified by any prior
oral or written discussions.

 

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  ALLTX, LLC, a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Boston Capital Real Estate Investment
  Trust, Inc., a

  
	
   

  	
   

  	
   

  	
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Jeffrey H. Goldstein

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
  Jeffrey H. Goldstein

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
  President

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  WACHOVIA BANK, NATIONAL ASSOCIATION

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Peter D. Leahy

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Peter D. Leahy

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Senior Vice President

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ACKNOWLEDGED, CONSENTED TO AND AGREED:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  BCP FUNDING, LLC, a Delaware limited
  liability

  company

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Boston Capital Companion Limited
  Partnership,

  
	
   

  	
   

  	
   

  	
  a Delaware limited partnership, its sole
  member

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  Boston Capital Partners II Corporation, a

  Delaware corporation, its sole general

  partner

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Jeffrey H. Goldstein

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
  Jeffrey H. Goldstein

  
	
   

  	
   

  	
   

  	
   

  	
  Title

  	
  Senior Vice President and Treasurer

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  ALLTX GP, LLC,
  a Delaware limited 

  
	
   

  	
   

  	
   

  	
   

  	
  liability company

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  Boston Capital Real Estate 

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Investment    Trust, Inc.,
  a

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Maryland corporation

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Jeffrey H. Goldstein

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Name:

  	
  Jeffrey H. Goldstein

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Title:

  	
  President

  
													

 

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